Oklahoma Natural Gas $19.6 million rate hike approved by Corporation Commissioners
Oklahoma Natural Gas customers will see a credit to their account soon after Oklahoma Corporation Commissioners approved and offset a rate hike on Tuesday morning.
The average residential customer will see a rate increase of $1.94 a month, while low-income customers will see a rate increase of $0.51 a month.
OKLAHOMA CITY (KOKH) — Oklahoma Natural Gas customers will see a credit to their account soon after Oklahoma Corporation Commissioners approved and offset a rate hike on Tuesday morning.
The average residential customer will see a rate increase of $1.94 a month, while low-income customers will see a rate increase of $0.51 a month.
But, the rate will be offset withExcess Deferred Income Taxes (EDIT) credit, which is a one-time credit from the federal government that’s given to customers annually in February.
This will bring the net impact down to $1.15 a month for the average customer, and $0.27 for low-income customers, according to ONG.
There was controversy at the Corporation Commissioners' meeting Tuesday morning before the Commissioners voted to pass the $19.6 rate hike.
"You are trying to stiff the average customer with (expletive) fees for 28 years," said an attendee at the Corporation Commissioners meeting.
The rate hike will be offset by a one-time tax credit from the Federal Government that ONG will be distributing to their customers in February.
The average customer will receive $9 while low-income customers will receive $3.
"It's automatically passed on to them on the bill, and it's calculated into the rate," said Oklahoma Corporation Commission Spokesperson, Matt Skinner.
The reason for the hike according to ONG is recovering costs from investments.
In a statement to Fox 25, they say,
Oklahoma Natural Gas’ performance-based rate (PBR) filing is an annual process where our company identifies the investments made in infrastructure and operating expenses that ensure the continued safe and reliable delivery of natural gas to our customers. We know these are difficult times for Oklahomans and understand that even a slight increase in monthly bills could have an impact to many of our customers’ ability to pay their bills. We encourage our customers who are struggling to pay their utility bills to reach out to us or go to oklahomanaturalgas.com/CARES for information about assistance programs and payment opportunities.
The Corporation Commission says there is also an increase in the cost of natural gas nationwide, and that ONG does not sell gas for profit, they just deliver it.
"Those costs by law can be passed on to the consumer at no profit and we do audit to make sure no profit is made," Skinner said, "We pay a delivery rate as customers we pay a rate to have the gas delivered to us in order to have that gas for delivering ONG has to go out and buy it."
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