PSC review of Pontotoc Gas System results in reduced bills
Published: May 18,2012
PONTOTOC — Customers of Pontotoc Gas System will see their bills drop after a Mississippi Public Service Commission review found them too high.
Starting immediately, residential rates will decrease from $9.56 per million metric British thermal units (mmbtu) to $7.14 per mmbtu.
The utility wasn’t intentionally overcharging customers, said Pontotoc Mayor Jeff Stafford. It had adjusted its rates annually according to fluctuations in the gas market. And it had lowered those rates two years in a row based on decreasing prices.
Considering the PSC’s findings, he said, the city will adjust rates monthly to reflect market values as they occur.
The PSC says the city collected an extra $3.3 million.
Stafford said the $3.3 million is a normal amount to be in the bank this time of year. The utility uses the money during the summer months — when it doesn’t sell as much gas — to continue paying its operating expenses.
Northern District Public Service Commissioner Brandon Presley said the city will need to formally ask the PSC to set a temporary rate, then a permanent rate.
To sign up for Mississippi Business Daily Updates, click here.
FOLLOW THE MBJ ON TWITTERMy Tweets
Top Posts & Pages
- Peavey's wellness program honored after workers drop 1,000 pounds
- Pickering lists concerns over Mississippi Adequate Education Program formula
- Group, lesbian couples look to overturn state's ban on same-sex marriages
- Watkins says JRA out to block him from Farish by repaying HUD $1.5M
- Mississippi Film Studios signs contract with New Orleans company
- State renews battle over water use with city of Memphis
- Mars Food expanding Delta plant; investing $31M and adding jobs
- DAVID DALLAS: You say “Obama”, I say “Ebola”
- Biloxi baseball project still alive but may be held for 2015