Piedmont Natural Gas reaches rate case agreement in NC to support infrastructure, safety
Following a settlement agreement with three key groups in North Carolina, plans for an approximately $74 million rate increase at Piedmont Natural Gas, a Duke Energy subsidiary, are likely to remain on track for November.
If approved by the North Carolina Utilities Commission (NCUC), the rate increase would total about 24 percent less than the $97 million Piedmont requested to recover costs for system growth, infrastructure investments and pipeline safety and security upgrades. The average residential customer would pay an extra $5.50 on their bills each month, or would see an increase of approximately $65 per year.
“We appreciate the Public Staff and all other parties giving such thoughtful consideration to our customers and to the needs of our business,” Sasha Weintraub, Piedmont Natural Gas senior vice president, said. “Especially during these challenging economic times, Piedmont remains focused on maintaining an efficient, safe and reliable pipeline network. And while raising rates is never an easy decision, the investments we’ve made are vital to keeping our pipeline system safe, reliable and robust.”
Piedmont distributes natural gas to more than 1 million residential, commercial and industrial customers in North Carolina, South Carolina and Tennessee, and also supplies natural gas to power plants.
The company’s residential customers will not be the only ones affected; commercial and industrial customers will also bear the cost of the rate increase. The increase was negotiated with the Carolina Utility Customers Association, the Carolina Industrial Group for Fair Utility Rates and the Public Staff of the North Carolina Utilities Commission, which represents the interests of consumers.
Final implementation of the new rates will be subject to the completion of two construction projects, as well as an audit of those projects conducted by the NCUC Public Staff.
