HomeMy WebLinkAbout20080815News Release.pdft"'-.T?t- -ó--o(1-d3
NEWS RELEASE Contact: Brent Wilde
Director- Marketing &
Industrial Services
(208) 377-6053August 15, 2008
Today, Intermountain Gas Company ("Intermountain") filed its annual Purchased Gas Cost Adjustment ("PGA")
application with the Idaho Public Utilities Commission ("IPUC"). This type of application is filed each year to ensure that
the costs that Intermountain is incurring on behalf of its customers are properly reflected in its sales prices. In its
application, Intermountain requests permission to adjust its prices to reflect the cost of natural gas supplies that it expects
to incur. This adjustment reflects how volatile prices have been as this increase follows consecutive decreases
amounting to approximately 12% over the past two years for Intermountain's residential heating and water heating
customers.
William C. "Bill" Glynn, President of Intermountain Gas Company, said, "The world wide demand for energy is
now at an all time high. This demand, when coupled with constraints being placed on the drilling and production for new
supplies, is driving the price of all energy to record highs. Intermountain continues to support the efforts of increased
domestic exploration and production and reductions in the delays to bring production to market. Putting more supplies in
the market is one sure way to lower the cost. America has vast reserves of Natural Gas-we just need to get it to
market."
Glynn went on to say, "Although the price of natural gas is higher this year, it still is the most affordable domestic
energy source to heat your home and water. Intermountain continues to urge all its customers to be conscious of their
energy usage and use it wisely. Helpful tips on ways to do that and how to request government energy-payment
assistance are provided through bill inserts and on the Company's website (ww.intgas.com). Intermountain also has a
program to help our customer's level out their energy bils over the year, and stabilize the potential impact that cold
weather will have during periods of higher natural gas usage. For more information, look for Level Pay on our website."
If this proposed adjustment is approved, residential customers using natural gas for heating and water heating
could experience an increase of $12.30 on an average monthly bill, an 18% increase per thermo Those residential
customers using natural gas just for space heating could experience a $7.90 increase on their monthly bill, or a 15%
increase per thermo Commercial business customers could realize a $55.30 increase on their monthly bil, which is an
increase of 18%.
If approved as filed, the Company's total net revenue will increase by approximately $54.3 million (18%). This
increase will only cover the increase of the cost of gas and will not affect the Company's profit. The proposed effective
date is October 1, 2008. This proposal is subject to public review and approval by the IPUC. A copy of Intermountain's
application is available at the offices of both the Idaho Public Utilities Commission and the Company.