4 Employees with hard hats working in the field together looking at a map
Columbia Gas of Maryland, Inc., a subsidiary of NiSource Inc. (NYSE: NI), filed a request today with the Maryland Public Service Commission (PSC) to approve revised rates for further upgrading and replacing portions of the Company’s underground natural gas distribution pipelines and investing in advanced safety initiatives. If approved, these proposed rate adjustments would not go into effect until April 2025.
“Natural gas infrastructure will play an important, long-term role in Maryland’s equitable energy future, and our proposal reinforces our on-going commitment to addressing climate change through smart innovation, new and modernized infrastructure, and advanced technologies that maintain reliable, resilient and affordable energy choices for our customers,” said Mark Kempic, Columbia Gas of Maryland president and chief operating officer. “This proposal balances our costs and infrastructure investments to ensure we deliver natural gas service to our customers at the lowest reasonable price.”
Affordable and reliable natural gas is an essential resource that enables consumers to heat their homes on the coldest days of the year, heat water, cook food and dry clothes, and lets commercial and industrial enterprises conduct their operations competitively and economically.
To compare heating costs between various fuels, visit: https://www.columbiagasmd.com/services/add-or-convert-to-gas/calculate-your-savings.
With more than 100 full-time employees and contracted resources, Columbia Gas has proudly invested more than $304 million in Maryland since 2008 as part of its long-term plan to modernize and expand its natural gas distribution system.
The Company’s proposal reinforces its commitment to addressing climate change in Maryland through targeted pipeline replacement efforts, advanced leak detection and repair, and by pursuing opportunities to reduce greenhouse gas emissions.
Together, these initiatives will help Maryland achieve the requirements of the Climate Solutions Now Act of 2022, which mandates a 60 percent greenhouse gas reduction by 2031 (from 2006 levels) and net zero emissions by 2045.
Helping Customers in Need
At all times, Columbia Gas is committed to providing its customers with the tools, resources, and programs to stay safe and warm in their homes.
“Even with these necessary investments, any change in customer bills can be significant, especially for those on fixed incomes,” added Kempic. “Assistance is available, and it is our goal to work with customers to identify solutions to keep them connected.”
With the communities it serves in mind, Columbia Gas offers a number of flexible payment plans to residential and commercial customers to help spread the balance due on their natural gas bills across multiple months. Information can be found at www.columbiagasmd.com/paymentplans.
Any Columbia Gas customer who may have fallen behind on their energy bills is encouraged to reach out to the company at 1-888-460-4332 or by visiting www.columbiagasmd.com/assistanceprograms.
Review Process by PSC
While the Company filed its request with the PSC today, it is important to note that after filing for a rate adjustment, the review process by the Commission will take approximately seven months. As a result, in this case, any approved and adjusted rates by the PSC would not go into effect until April 2025.
Approval of the proposal would result in the average total bill for a residential customer who purchases 60 therms of gas per month from Columbia Gas to increase from $94.19 to $108.28, or by 14.96 percent. The total bill for a small commercial customer purchasing 250 therms of gas from Columbia Gas per month would increase from $318.70 to $356.28, or by 11.79 percent. The total monthly bill for an industrial customer purchasing 4,540 therms of gas from Columbia Gas would increase from $3,382.55 to $3,721.22, or by 10.01 percent.
If the request is approved as filed, the total average residential customer bill would still be about 10 percent lower than it was 20 years ago, when adjusted for inflation.
The total overall request represents an annual revenue increase of $8.7 million.
How Customers Can Participate in the Rate Review Process
It is important to note that the public has a voice in the review process, and anyone interested in the case can reach out to the PSC. Columbia Gas encourages active involvement by customers and other parties by participating through written comments and attendance at public hearings. Residential customers are represented throughout the process by the Maryland Office of People's Counsel.
Customers with questions regarding the proposed rates may call Columbia Gas at 1-888-460-4332 or visit www.columbiagasmd.com for more information.
