Business & Tech

Columbia Gas Plans 18 Percent Residential Rate Hike

Columbia serves more than 430,000 customers. Their rates soon could be increasing significantly.

CANONSBURG, PA — Amid the coronavirus outbreak that has left a staggering number of people unemployed and facing uncertain financial futures, Canonsburg-based Columbia Gas wants to raise residential rates by nearly 18 percent. If the increase is approved by the state Public Utility Commission, the high rates would go into effect in 2021.

Residential customers who purchase 70 therms of gas per month would see rates increase from $87.57 to $103.19 per month, or by 17.8 percent. The total bill for a small commercial customer purchasing 158 therms of gas per month would increase from $145.15 to $167.77, or by 15.5 percent. Rates for a small industrial customer purchasing 1,328 therms of gas per month would increase from $999.04 to $1,124.93 per month, or by 13.1 percent.

The rate hike would increase Columbia's annual revenues by about $100 million. The company stated in a release that it needs the money to upgrade its natural gas distribution pipelines.

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"Our nearly 800 fulltime employees and 1,500 contractors are proud of our pipeline replacement program and our ability to continue to serve our valued customers safely and reliably," Columbia CEO Mike Huwar said."We also remain committed to providing a positive customer experience
through an educated and trained workforce that is focused on safely meeting or exceeding all federal and state requirements while operating, upgrading and expanding our distribution system."

Columbia said it began planning the rate hike request nearly a year ago.

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