This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

NW Natural Files For First General Rate Increase In 9 Years

Northwest Natural Gas Company, dba NW Natural (NYSE:NWN), today announced that for the first time since 2002, the company has filed for a general rate increase with the Public Utility Commission of Oregon (OPUC).

If approved as filed, the request would result in an overall revenue increase of about 6 percent, or $43.7 million. Under this proposal, a residential customer using 54 therms per month would see an average monthly bill increase of about $5 (or 8 percent). A commercial customer using 221 therms a month would see an average monthly bill increase of about $13 (or 6 percent).

The request addresses higher costs associated with maintaining and operating the company’s pipeline system and serving customers, as well as employee pension and other benefit costs. The request will not affect customer bills this winter.

“Over the last nine years, we’ve streamlined our operations and kept increases in our costs to serve customers well below the inflation rate – and well below most of our peers,” said Gregg Kantor, NW Natural President and CEO. “Because of our cost control efforts and lower natural gas prices, even with this rate increase in place customers will be paying less for gas service than they did in 2005. We have managed our business well and done all we can to delay this filing.”

The proposed increase supports the following operational areas:

  • Pipeline and system safety. A portion of customer rates pay for inspections; maintenance and repairs; incident response staff; and training to keep the company’s system as safe as possible. NW Natural has been aggressive in these areas and continues to add necessary personnel to meet or exceed all federal safety regulations.
  • Shorter service windows. When customers call to request a service appointment, the company has been able to tell them what day – but not what time – the technician will arrive. By hiring more technicians, NW Natural can reduce the appointment window time to morning or afternoon.

Separate from the revenue increase request, the company is also proposing a mechanism to address clean-up expenses related to legacy manufactured gas plant operations. The proposal would collect in rates only those costs that insurance does not cover and would do so over many years to lessen the impact on customer bills. This mechanism could result in an additional 1 to 3 percent increase, depending on insurance recovery collections and clean-up project costs that occur between now and the date new rates take effect.

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,985.61 +78.99 0.47%
S&P 500 1,972.83 +9.12 0.46%
NASDAQ 4,419.0340 +27.5710 0.63%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs