Questar Gas Requests Rate Increase

SALT LAKE CITY -- Questar Gas today asked the Wyoming Public Service Commission (PSC) to approve a $1,062,000 increase in its Wyoming natural gas rates. This change, requested to go into effect July 1, 2002, is due to increases in gas costs.

If the request is approved by the PSC, it will increase the annual bill for the typical residential customer using 120 decatherms per year from $763.63 to $807.42. This is an increase of $43.79 per year or 5.73 percent.

This request was made in the company's semiannual gas-cost adjustment or "pass-on" filing. Such filings enable the company to adjust rates at least twice each year to reflect changes in gas-supply costs.

The increase adjusts for the rising costs of natural gas. However, Questar Gas customers will not feel the full impact of the rise in natural gas prices that have occurred throughout the nation. This is because about half of the natural gas Questar supplies customers comes from Questar Gas-owned wells. That gas is delivered to customers at "cost-of-service" pricing, which is considerably lower and more stable than that for gas purchased from outside suppliers.