T.P.U.C. holds public input meeting on Chattanooga Gas rate increase request

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CHATTANOOGA, Tenn. (WDEF) – The Tennessee Public Utility Commission held a public input meeting on a proposed natural gas rate hike at UTC Thursday.

In February, the Chattanooga Gas Company filed a request to the commission for an increase.

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“If approved, the request would help support our requests into safety, modernizing our infrastructure, as well as, helping to develop our work force,” Mekka Parish with Chattanooga Gas Company said.

The company is requesting around $6.2 million.

Chattanooga Gas serves around 66,000 customers.

Parish said if approved, the average residential customer should expect to see an about $5.73 increase in their monthly bill.

“We have managed costs very effective and efficiently, and it’s been over 8 years since the last increase and again we really are committed to meeting the energy demands and needs of this community,” Parish said.

The Tennessee Attorney General’s Office Consumer Advocate Team took a different position on the sought rate hike.

They requested a $2.8 million rate decrease.

Their position includes the following:

  • Customers should not incur employee bonus costs.
  • Legal costs incurred by Chattanooga Gas in this proceeding should be reduced.
  • The forecasted capital spending included in rates should be in line with historic capital spending amounts.
  • The appropriate return on investment should be reduced from that proposed by Chattanooga Gas.

A public hearing on whether the rate request should be approved will be take place August 21st in Nashville.

Parish said if the commission approves the increase, the new rates could go into effect in November.

If you are a customer and want to comment, email Sharla.Dillon@tn.gov with “comment regarding docket No. 18-00017” in the subject line.

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