COLUMBIA, S.C. (March 30, 2007) – SCE&G will raise the purchased gas portion of its natural gas rates for April, resulting in a 1.68 percent increase from March in overall costs to residential customers. The average April bill, based on 44 therms of usage, will be $76.92; that’s up $1.03 from a year ago.
Purchased-gas costs account for about 70 percent of a customer’s overall gas bill and are a direct pass-through of what SCE&G must pay on the wholesale market to purchase and transport natural gas to its customers; the company does not profit from this portion of its rates.
Under a Settlement Agreement facilitated by the South Carolina Office of Regulatory Staff and approved by the South Carolina Public Service Commission, SCE&G began making monthly adjustments to this part of its rates in November 2006 to help diminish the impact on customers of price volatility in the wholesale natural gas market. Adjustments are calculated based on a rolling 12-month forecast of purchased gas costs.
SCE&G is a regulated public utility that provides natural gas service to approximately 297,000 customers in South Carolina. The company also is engaged in the generation, transmission, distribution and sale of electricity to approximately 623,000 customers throughout the state. Information about SCE&G is available on the company’s web site at www.sceg.com.