20060921final_order_no_30130.pdf

Office of the Secretary
Service Date
September 21 2006
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
JANE ROBINSON,
CASE NO. INT-06-
COMPLAINANT
INTERMOUNTAIN GAS COMPANY ORDER NO. 30130
RESPONDENT.
In February 2006, Jane Robinson made an informal complaint against Intermountain
Gas Company disputing the amount of natural gas consumed at her Boise residence during the
2005-2006 winter heating season. Attempts to resolve the informal complaint were not
successful. Having exhausted her informal complaint remedy, Ms. Robinson filed a "formal"
complaint against Intermountain Ga~ on April 13 , 2006. IDAPA 31.01.01.024. The
Commission issued a Summons directing Intermountain Gas to answer the Complaint. On July
2006, the Company filed a timely Answer.
Based upon its initial review of the Complaint and the Company s Answer, the
Commission found that the record did not contain certain material facts necessary to decide the
Complaint. On August 16 2006, the Commission issued Order No. 30115 directing the parties
to supplement the record. On August 23, 2006, Intermountain Gas filed its supplemental
material. Ms. Robinson filed her supplemental data on September 6, 2006. Neither party
requested a hearing. After reviewing the Complaint, the Answer, and the subsequent materials
submitted by both parties, the Commission issues this Order.
THE COMPLAINT
This past winter, Ms. Robinson decided to heat her house with firewood so that she
wouldn t have gigantic heating bills from Intermountain Gas Company." Complaint at 1. She
purchased four cords of wood for $565 (Exh. 1 , pages 1-2) and burned this wood to heat her
home everyday from November 15 , 2005 through the first week of March 2006. She states that
her freestanding fireplace is very efficient and she only used her natural gas furnace 20-
minutes each morning. Id. at 2. She also has a natural gas-fired water heater.
ORDER NO. 30130
After she received her January 2006 bill, she called Intermountain Gas to dispute the
reported amount of natural gas consumed during the 31-day billing cycle and the previous
months' bills. She claimed that she could not have consumed so much natural gas during the
winter season. Her efforts to obtain a billing adjustment based upon the cost of her firewood
were unsuccessful.
After filing an informal complaint with the Commission Staff, Staff suggested that
Intermountain Gas remove her natural gas meter and test it for accuracy. On March 8, 2006, a
Company technician removed the old meter and replaced it with another meter. Answer at I. At
the time her meter was replaced, a Company technician also performed a "diagnostic inspection
on her furnace and water heater. Id. at 2. In her Complaint, Ms. Robinson asserts she observed
that the technician changed the thermostat setting on her water heater. In addition, she
complained that the new meter was not set to "zero" but read "0492." Complaint at 3. She states
in her complaint that she should not be billed for these 492 therms of natural gas. Id. at 1.
INTERMOUNT AIN GAS ANSWER
Intermountain Gas answered that both the old meter and new meter were tested for
accuracy and found to be accurate. Answer at 1. In its supplemental filing, the Company
provided a copy of its meter test report. The report, dated March 10, 2006, shows that the meter
was removed on March 8 and that the meter was found to be in good working order. IGC Exh.
4. The Company further explained that replacement meters do not have their readings reset to
zero. For billing purposes the new billing begins at "0492" which represents a "zero" beginning
balance. Answer at 2. Consequently, Ms. Robinson was not billed for 492 therms.
The Company also acknowledged that its technician did inspect Ms. Robinson
water heater. In performing the diagnostic inspection, the Company indicated that the water
heater must "be tested under a range of high-to-Iow thermostat settings.Id. Thus, the
technician did adjust the thermostat as part of his inspection. Although the Company found her
furnace and water heater to be in good working condition, the technician advised Ms. Robinson
about several factors that reduced the efficiency of both her fireplace and her natural gas furnace.
More specifically, the Company maintained that the technician shared his concerns "regarding
the location of the fireplace in relation to the location of the natural gas thermostat, the fact that
all the heating registers and interior doors remained closed(,) and that there was no return heating
register co-located with the fireplace.Id.
ORDER NO. 30130
The Company estimated that Ms. Robinson s use of firewood did indeed lower her
consumption of natural gas this past winter on a per heating degree day (HDD) \ basis. Her
natural gas consumption this winter was actually lower per HDD as compared to previous
winters. The Company included a graph which showed the amount of her consumption in
therms over the last four winters and the heating degree days. IGC Exh. 3. According to the
Company, this exhibit demonstrated that Ms. Robinson s natural gas usage has actually declined
even though this past winter was colder than the three previous winters.
In its supplemental filing, the Company calculated that Ms. Robinson owes a balance
of $944.37 as of August 8 , 2006. IGC Exh. 1. Her last payment was for the monthly bill dated
December 20 2005. Id. The Company requested that the Complaint be dismissed and agreed to
make payment arrangements with Ms. Robinson for the payment of her past due bills.
ROBINSON REPLY
In her supplemental filing, Ms. Robinson submitted Exhibit 3, which purportedly
shows a pattern of improper billing by the gas company since 2000. She listed four examples to
support her argument of improper billings. First, she pointed out that on February 2, 2000, she
was billed for 337 therms of natural gas for 30 days. Robinson Exh. 3. She insisted that the
National Weather Service confirmed that February 2000 was a "warmer than normal February,
implying that she was over-billed.
Second, she compared the bills for the month of January between 2000 and 2006.
These January bills indicated she consumed various amounts of natural gas ranging from 14
therms in 2005 (the year she heated her house with electricity) to a high of 331 therms in 2004.
She also made the same yearly comparison for the month of November between 2000 and 2005
and highlighted November 2002 with the largest monthly gas consumption of 202 therms.
Robinson Exh. 3, page 2 of 2. She maintained that comparing these monthly bills for January
and November over several years "reveals (a) strange but consistent over billing pattern.
Robinson Exh. 3, page 1 of 2.
I Heating Degree Day (HDD) is a quantitive index or measurement that reflects the demand for energy to heat houses
and businesses. The index is based upon daily temperatures reported at National Weather Service stations throughout
the United States, including Boise. HDD is calculated by comparing a mean daily temperature (average of the daily
maximum and minimum temperatures) and 650 Fahrenheit (the base for HDD computations). "Heating Degree Days
are summations of negative differences between the mean daily temperature and the 65OF base." National Weather
Service website www.cpc.ncep.noaa.gov/products/analvsis/ monitoringlcdus/degree days/ddavexp.shtml.The larger
the HDD index number, the greater the demand for energy to heat a home. In other words, the greater the HDD
number, the colder the month.
ORDER NO. 30130
Finally, she asserted that the three months of usage from September to November in
2002 shows an "astronomical climb" in gas consumption from 18 therms in September, to 69
therms in October, then to 205 therms billed in November. She concluded that this three month
period reveals "a consistent and on-going 'pattern' of unjustifiable excessively high charges that
are not warranted by weather conditions
. . ..
Robinson Exh. 3 , page 1 (emphasis original).
Because of these over-billings, she seeks a refund. Using the August 2006 billing of $18.53 as a
normal usage surrogate, she suggests that she is due a refund of the payments she made for the
months of October through December 2005 ($518.66) offset by $203.83 ($18.53/mo. x 11
months). Robinson Exhs. 2 and 4?
COMMISSION FINDINGS
The Commission believes that there is sufficient evidence in the record for us to
decide this matter. The Commission has jurisdiction to hear this dispute pursuant to Idaho Code
99 61-503 61-641 , and 61-642. Ms. Robinson disputes the amount of natural gas consumed at
her Boise residence last winter and alleges that the gas company over-billed her. Ms. Robinson
seeks a partial refund for the months from October 2005 through January 2006 and an
adjustment to the bills from February 2006 to the present.
After reviewing the record in this matter, we find that the Complaint is not well
founded for several reasons. First, the meter allegedly at fault for inconsistent readings was
removed and replaced on March 8, 2006. The removed meter was tested on March 10 , 2006.
Idaho Code 9 61-520 provides that the Commission may set standards for the metering of utility
services. Commission Rule 154 provides that natural gas meters shall not be "more than two (2)
percent slow and not more than one (1) percent fast." IDAP A 31.31.01.154.01. Intermountain
Gas submitted a copy of its special test report for the removed meter. This test report indicates
that the meter tested accurate to within 0.6%. This result is within the parameters set by Rule
154. The Company has provided convincing evidence that the meter was accurately measuring
Ms. Robinson s gas consumption.
Second, Ms. Robinson presented no evidence that the monthly readings of the new
meter are inaccurate. In calculating the appropriate amount of gas consumed, she suggested that
we utilize the therms used and charges from August 2006 as a surrogate for her monthly charges
2 Ms. Robinson also alleged that she was charged for "removing the old meter and replacing it with a different
meter." Robinson Exh. 4. We see no evidence of such a charge in the billing materials submitted by either party.
ORDER NO. 30130
in the winter because the "conditions (in August) are basically identical" to the prior months.
However, this is not an appropriate surrogate for her usage because she conceded she used her
furnace every day during the winter. We find it unlikely that she used her furnace during the
time encompassed by the August 2006 bill. In addition, as indicated in her Exhibit 2 and the
Company s Exhibit 1 , the usage for the months of March through July all exceed the $18.
charge.
Finally, we are not persuaded by Ms. Robinson s Exhibit 3 purportedly showing "
pattern' of improper billings.She first insisted that her February 2, 2000 bill was in error
because the National Weather Service confirmed that February 2000 was a "warmer than normal
February." While this may be true, her February bill was for service primarily rendered during
January 2000. Pursuant to Rule 263.01.b., we take official notice that the HDDs in Boise for
January and February 2000 were 943 and 672 , respectively. IDAPA 31.01.01.263.01.b.3 Thus
January was significantly colder than February.
We also are not persuaded by her analysis of the bills for the months of January and
November for the years 2000 through 2006. For example, she points to the "high" month of
November 2002 below as indicative of a pattern of excessive billing. However, a review of the
November bills and pertinent HDD data does not demonstrate such a pattern and shows
consumption proportionally based upon HDD data.
Billing Date
November 1 2000
November 2 2001
November 18, 2002
November 18, 2003
November 18 2004
November 18, 2005
Therms
205
195
123
Days in Cycle
28 days
31 days
32 days
29 days
29 days
29 days
HDD
October 387*
October 350
November 729
November 606
November 641
November 586
Source: Robinson Exh. 3; IGC Exh. 2; National Weather Service.
* We used October HDD for 2000 and 2001 because the majority of usage
occurred in October.
We find the November 2002 bill roughly corresponds to the coldest November from 2000 to
2005.
National Weather Service ftp://ftp.cpc.ncep.noaa.gov/htdocs/products/analvsis monitoring/cdus/degree
day sl arch i ves/Heatin g%2 Ode gree%2 0 Days/Month I v%2 0 City 12000/
ORDER NO. 30130
She also argued that the increasing natural gas usage reflected on the bills for the
three months of September to November 2002 demonstrates a pattern of abuse. But reviewing
her reported gas usage in conjunction with the HDD data leads us to simply conclude that the
increasing gas usage was in line with the increasing colder weather from September to
November 2002.
In conclusion, we find that Ms. Robinson was able to lower her consumption of
natural gas this past winter by burning firewood. However, we also find that Ms. Robinson did
not adequately demonstrate that her old meter was inaccurate. We find there is substantial and
competent evidence that the old meter and replacement meter accurately reported the amounts of
natural gas she consumed during this past winter. We further find that the alleged patterns of
over-billing in Ms. Robinson s Exhibit 3 are not convincing. Consequently, the Commission
finds that no reimbursements or billing adjustments are warranted and the Complaint should be
dismissed.
We direct the Company to offer Ms. Robinson payment arrangements for the amount
currently past due. Because we are soon approaching another winter heating season, we direct
payment arrangements be made over a 12-month period. We also encourage Ms. Robinson to
investigate whether she might be eligible for the Low-Income Energy Heating Assistance
Program administered locally by EI Ada.
ORDER
IT IS HEREBY ORDERED that Jane Robinson s Complaint against Intermountain
Gas Company be dismissed.
IT IS FURTHER ORDERED that the Company make reasonable payment
arrangements for the recovery of the past due amounts over a 12-month period.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date of this Order. Within seven (7)
days after any person has petitioned for reconsideration, any other person may cross-petition for
reconsideration. See Idaho Code 9 61-626.
4 Gas usage and HDDs for each month were: September - 18 therms/94 HDD; October - 69 therms/296 HDD; and
November - 205 therms/729 HDD. See Robinson Exh. 3; IGC Exh. 2; and National Weather Service HDD data for
September 2002.
ORDER NO. 30130
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this I !Or
day of September 2006.
if
MARSHA H. SMITH, COMMISSIONER
ATTEST:
f~PJe~ryD. Jewell
Commission Secretary
bls/O:INT-O6-02 dh2
ORDER NO. 30130