20180926press release.pdf

Case No. INT-G-18-02
Final Order: No. 34154
Contact: Matt Evans
Office: [phone]
Cell: [phone]
[e-mail]

Regulators approve Intermountain Gas
proposal, residential and commercial rates to
decrease

BOISE (Sept. 26, 2018) – Rates for customers of Intermountain Gas Company will decrease by an
average of 10.2 percent on Oct. 1 after state regulators approved the company’s annual Purchased Gas
Cost Adjustment (PGA) proposal.

The PGA is the variable component of natural gas rates that can be adjusted each fall to reflect changes
in the costs of purchasing gas from suppliers.

These costs include transportation, storage and other related expenses incurred acquiring and delivering
natural gas to approximately 350,000 customers across southern Idaho.

The decision by the Idaho Public Utilities Commission calls for returning to customers approximately
$24.5 million.

That equates to a 10.0-percent decrease to residential rates, or $4.12 per month based on average
consumption and weather.

Commercial, or General Service, customers will see a reduction of 11.9 percent on average, or $21.89
per month, when the new PGA takes effect Oct. 1.

Intermountain Gas said several factors contributed to the decrease, including lower-than-expected
transportation costs, a decrease in the Weighted Average Cost of Gas, benefits resulting from the
company’s management of storage and firm capacity rights on several pipeline systems and benefits
related to changes in federal and state corporate income tax laws.

While three customer classes (Residential, General Service and Large Volume) will see a reduction in
rates as a result of the PGA change set to take effect Oct. 1, rates will increase for some Industrial
customers.

Those in the T-3 class, Interruptible Distribution Transportation Service, will see a 6.84-percent increase,
and customers in the T-4 class, or Firm Distribution Only Transportation Service, will see a 2.3-percent
increase.

The decision does not impact the company’s earnings.

All documents related to this case, including the Commission’s decision, can be reviewed here. Or go to
the Commission’s website, www.puc.idaho.gov, click on “Open Cases” under the “Natural Gas” header
and scroll down to Case No. INT-G-18-02.

- Don’t forget to call before you dig.