Will Yourheating Bill Rise?

By Michelle Dynes

Cheyenne Light, Fuel & Power has filed a request to raise natural gas rates by $33 per residential customer to match increased market prices.

By Michelle Dynes

mdynes@wyomingnews.com

CHEYENNE – Colder than normal temperatures and increased market prices could raise winter heating bills for residents here.

Cheyenne Light, Fuel & Power filed an out-of-period adjustment Tuesday with the Wyoming Public Service Commission to pass on the increased wholesale cost of natural gas to its customers.

If the commission approves the request, the average residential bill would increase by about $33 per month beginning Feb. 1. The bill for a typical small business owner would jump by about $193 each month.

This means the average residential customer would collect bills totaling $130.75, while the average small business customer’s bills would be $686.85.

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“The reasons for this out-of-period filing are: one, the market prices for gas increased; and two, December had colder than normal temperatures resulting in higher than normal usage,” said Mark Stege, general manager for Cheyenne Light.

Last month, residential usage increased 9.8 percent, while commercial usage rose 10 percent.

“The Rockies Express gas pipeline becoming operational this month (also) has increased the market price of gas in the region, including that purchased for Cheyenne Light customers,” Stege added.

Monica Puente, a spokesperson for the company, said the rate proposal reflects the increased market demand. She added that the cost adjustment also matches the natural gas price paid by Cheyenne Light dollar-for-dollar. The company would not earn a profit on any rate hikes.

But even with the proposed higher rates, Cheyenne customers would pay less this winter than they did during the 2006-2007 season. Puente said from December 2006 to March 2007, the average resident paid $461. If the latest rate increase goes into effect, customers would pay about $426 for the 2007-2008 winter months.

While Cheyenne Light has filed its adjustment application, the Wyoming Public Service Commission has not set a date to hear the proposal. A staff member will be assigned to review the application next week before it goes before the commissioners.

Puente said customers who are concerned about the fluctuations in their bill can contact Cheyenne Light about participating in the Levelized Billing Plan. Under this option, a customer’s monthly total is based on an average of the 12 most recent bills.

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