National Fuel Gas to raise customer rates

SHARON, Pa. -- Natural gas costs for customers of National Fuel Gas Distribution Corp. are rising again.
The company said Friday that its annual adjustment to gas cost rates will go up 3.1 percent effective Sunday. The increase will raise the average residential monthly bill covering 115,000 cubic feet of gas from $114 to about $118.
"In January, the company originally projected a slight rate decrease [0.5 percent] for Aug. 1," said Sandra James, assistant director of corporate communications. However, the nationwide increase in the market price of natural gas over past months has made it necessary to increase rates to more accurately reflect the cost of gas that will be bought by the company for its customers from Aug. 1 through July 31, 2005, she said.
If gas costs change significantly during that period, either up or down, utility companies are permitted to update rates on a quarterly basis to reflect those changes.
National Fuel is required by law to pass the cost of natural gas on to customers with no markup or profit, James said.
National Fuel serves about 214,000 customers in 14 counties in northwestern Pennsylvania, including 30,000 in Mercer County but none in Lawrence County.