Natural Gas Service Rate Could Increase For Black Hills Energy Customers

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FAYETTEVILLE (KFSM) — The natural gas service rate could increase for Black Hills Energy customers.

Black Hills Energy submitted a regulatory rate review proposal to the Arkansas Public Service Commission to recover investments in safety, reliability, and system integrity for natural gas services to its 160,000 Arkansas customers.

The company has invested over $160 million in replacing, upgrading and maintaining more than 5,500 miles of natural gas transmission and distribution pipelines in Arkansas.

“Black Hills Energy is committed to being the energy partner of choice for our Arkansas communities and customers–a commitment we’ve demonstrated through investments in our infrastructure, in our communities and in current and projected job growth,” said Todd Jacobs, vice president of natural gas operations for Black Hills Energy in Arkansas. “Our Arkansas-based staff additions reflect the strength of the state’s economy, show the ready access to a highly-qualified local workforce, and demonstrate Black Hills’ long-term commitment to Arkansas.”

The typical residential customer bill would increase by $10.65 per month, according to the company. The increase will vary, based on rate class, load factors and total usage.

The rate review will not affect the cost of the natural gas delivered by Black Hills Energy.

“The proposed change in our service rates will enable us to continue our investments in people and infrastructure, meet the needs of a growing system, and continue our commitment to reliability and safety that our customers have come to expect,” Jacobs said.

If approved, the natural gas service rate would take effect late 2018 for Black Hills’ natural gas customers.

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