SCE&G Files for Annual Adjustment Under Natural Gas Rate Stabilization Act
June 18, 2012
CAYCE, SC – June 15, 2012 – South Carolina Electric &Gas Company, principal subsidiary of SCANA Corporation (NYSE: SCG),filed with the Public Service Commission of South Carolina and theSouth Carolina Office of Regulatory Staff for an $8.8 million, or 2.40percent, overall increase to its retail natural gas base rates.
SCE&G filed for the increase under terms of the Natural Gas RateStabilization Act, a South Carolina law designed to reduce fluctuationsin customer rates by allowing for more efficient recovery of the costsregulated utilities incur in expanding, improving and maintainingnatural gas service infrastructure. Information supporting the filingwill be reviewed by the ORS, which will issue an audit report by Sept.1.The PSC will review SCE&G’s filing and the ORS audit report andissue an order in October. If approved, the rate increase would beeffective with the first billing cycle of November.
Keller Kissam, president of SCE&G’s retail operations, said evenwith the proposed rate increase, customer bills on average will be downfrom a year ago based on current wholesale costs.
Approximately 40 percent of what our customers are paying for naturalgas is a direct pass-through of the costs we incur purchasing andtransporting natural gas from the wholesale market, said Kissam. Thosecosts are down significantly. At present levels, residential bills willactually be about $11 less annually compared to a year ago, based onaverage usage.
The proposed overall 2.40 percent increase to natural gas rates breaks out as follows:
- 4.44 percent increase for residential customers
- 2.18 percent increase for small/medium commercial customers
- 1.54 percent increase for large commercial/industrial customers
About SCE&G
SCE&G is a regulated public utility engaged in the generation,transmission, distribution and sale of electricity to approximately668,000 customers in South Carolina. The company also provides naturalgas service to approximately 319,000 customers throughout the state.More information about SCE&G is available at www.sceg.com.
About SCANA
SCANA Corporation, headquartered in Cayce, SC, is an energy-basedholding company principally engaged, through subsidiaries, in electricand natural gas utility operations and other energy-related businesses.Information about SCANA and its businesses is available on the company’swebsite at www.scana.com.
