Today, Avista announced that it filed its annual Purchased Gas Cost Adjustment (PGA) and related filings with the Public Utility Commission of Oregon (PUC) that if approved, could increase natural gas rates for customers in Oregon by an overall 10.4 percent. The primary reason for an increase is increased wholesale costs, driven in part by the colder than normal winter across the country.
Purchased Gas Cost Adjustment (PGA)
The PGA is an annual adjustment that balances the actual cost of wholesale natural gas purchased by Avista with the amount already included in current rates - we do not mark up the cost of natural gas to meet customer needs. We file the PGA each year, and costs can go up or down, based on the cost of wholesale natural gas.
Average Customer Bill Impact (Based on average usage of 47 therms per month)
If approved, the filing would include:
· An increase of $5.45 or 9.7 percent
· A revised monthly bill of $61.42
· If the request is approved, new rates would take effect on Nov. 1, 2014
Current Natural Gas Bill
Approximately 55 percent of an Avista customer’s natural gas bill is the cost of purchasing and transporting natural gas and 45 percent of the bill is delivery of natural gas to our customers, by Avista.
Read the full news release.