For residential customers, the company’s request will mean an average net increase of about $7.25 per month, or approximately 9.8%, in their total gas bill, excluding taxes.
AmerenUE said it seeks to increase gas delivery rates to cover infrastructure investments and higher operating costs.
According to the utility, its rate request will not have any immediate effect, since it must first go through the process of PSC review and hearings. A decision is expected no later than May 2011.
The company’s delivery rates are regulated, and any changes must be approved by the PSC. In contrast, supplier costs for natural gas are not regulated, and go up or down based on supply and demand. The company passes those costs on to customers through purchased gas adjustment without ‘markup’.
AmerenUE provides electric and gas service to approximately 1.2 million customers across central and eastern Missouri, including the greater St Louis area.
