Net Zero Change to Natural Gas Rates
(October 30, 2018) AFTON, WY – Afton, WY – At the October 25, 2018 Lower Valley Energy Board of Directors meeting, changes to natural gas rates were discussed in depth. At issue were the mixture of influences that go into natural gas rates, such as commodity, non commodity and facility charges. What complicates the discussion is when various functions are moving in opposite directions, as is the current case with natural gas rates.
Natural gas prices are rising – but instead of raising rates, your Board of Directors voted to suppress a rate increase by drawing down the gas balancing account. The gas balancing account has historically been used to smooth out rate fluctuations in the highly volatile natural gas market.