RGC Resources’ Roanoke Gas Subsidiary Receives Rate Case Staff Recommendations
July 01 2019 - 12:45PM
The Staff of the State Corporation Commission issued its analysis
and recommendations in the Company’s general rate case
proceeding. The Staff testimony recommends a gross rate
increase of $6.4 million.
“While we disagree with many of the Staff’s
recommendations, we are pleased that Staff’s proposed rate
increase, when combined with the incorporation of SAVE rider
revenue, is within range of the Company’s estimated award,” stated
Paul Nester, Roanoke Gas Company President. “Most of this
difference relates to certain novel and unprecedented rate making
proposals included in the testimony. The Company respectfully
disagrees with the manner in which Staff proposes to account for
certain items, notably the treatment of the SAVE rider revenue and
the new gate stations. The Company intends to present its
arguments to the Commission on the merits of these recommendations
as well as other proposals in the Staff’s testimony.”
The Company will also refute the gas supply
analysis performed by the Staff’s third-party consultant.
“The Company is obligated to safely and reliably deliver natural
gas to our customers on the coldest winter day. Staff’s
consultant ignores this basic tenet of the local distribution
company,” stated Nester. “With the continued economic development
in the Roanoke Valley, gas provided by the Mountain Valley Pipeline
(MVP) will support and strengthen the Company’s ability to serve
its customers. Further, Franklin County cannot economically
have natural gas service without the MVP.”
The Company’s rebuttal testimony is due in late
July and the rate case hearing is currently scheduled for
August.
Contact: |
Paul W.
Nester |
|
Vice President and CFO |
|
President, Roanoke Gas Company |
Telephone: |
(540) 777-3837 |
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