20151026press release.pdf

Case No. AVU-G-15-02, Order No. 33402
Contact: Gene Fadness [phone], 890-2712
www.puc.idaho.gov

Avista gas rates to decline nearly 15 percent

BOISE (October 26, 2015) – Rates for Avista Utilities’ natural gas customers will decrease by an
average 14.5% effective Nov. 1.

Avista, which serves natural gas customers in northern Idaho, has a yearly mechanism called
the Purchased Gas Cost Adjustment (PGA) that tracks the portion of gas expense that fluctuates
every year depending on weather, wholesale market prices, transportation costs and other
factors.

A reduction in wholesale market prices for natural gas due to a warmer than normal winter, an
abundance of natural gas held in storage and continued high production levels of natural gas all
contributed to a significant reduction in this year’s PGA. The total amount refunded to
customers is $2.3 million.

Commission staff examined Avista’s gas purchases for the year as well as its fixed-price hedges,
pipeline transportation and storage costs and its estimates of future wholesale market prices.

With the reduction, an Avista residential customer using the company average of 61 therms per
month will see an average $7.94 reduction in monthly bills.

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