Arkansas Western Gas Gets Nod for Rate Hike

Southwestern Energy Co. of Houston said its distribution subsidiary, Arkansas Western Gas Co. in Fayetteville, received regulatory approval of a rate increase totaling $4.1 million annually, exclusive of costs to be recovered through its purchase gas adjustment clause.r

The order issued by the Arkansas Public Service Commission also entitled AWG to recover additional costs of $2.3 million through its purchase gas adjustment clause over a two-year period.r

In its order, the commission approved general terms of the joint stipulation and settlement agreement that was filed on July 17, but made modifications, including reducing the recovery of certain additional costs from $2.3 million-$2.9 million.r

The rate increase will be effective for all customer bills rendered on or after Oct. 1. AWG, which serves about 140,000 residential, commercial and industrial customers in northern Arkansas, last got a rate hike in December 1996.