News from the Oklahoma Corporation Commission

Matt Skinner, Public Information Officer

Phone: (405) 521-4180, FAX: (405) 522-1623,  www.occ.state.ok.us

January 31, 2001

 

 

 

COMMISSIONERS WILL SCRUTINIZE GAS COSTS

 

The Corporation Commission will meet tomorrow (Thursday, February 1) to closely examine the gas costs borne by customers of ONG and Reliant Arkla.

 

Ordinarily, Commission staff reviews such costs.  But Commission Vice-Chair Denise Bode points out  these are not “ordinary” times.

 

“As everyone knows, the price of natural gas has skyrocketed, and as a result, so have utility bills,” said Bode. “Oklahomans need to know this Commission is doing everything it can under its legal authority to keep those down as low as possible.

 

One of the main focuses of the Commission in tomorrow’s session is what’s called the Purchased Gas Adjustment, or PGA.  Under the PGA, a gas utility is allowed to charge the consumer what it had to pay for the gas it delivered to customers. No profit is allowed.  While state law allows such “pass-throughs” without Commission approval, it does give the Commission the authority to oversee such costs.  Tomorrow’s session will include sworn testimony from gas industry officials and others.

 

Commissioner Ed Apple, while emphasizing the need for a full, public scrutiny of such costs, says it’s important to remember what is at the core of the problem.

 

“This is a national problem,” said Apple. “The final solution to the energy crisis can only be brought about through a national effort, and I encourage President Bush’s efforts in that direction.”

 

The hearing will be held at 9:30 a.m. in the Commission courtroom (Room 301) on the third floor of the Jim Thorpe building.

 

 

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All OCC News releases and advisories are available for downloading and review on the OCC web site at www.occ.state.ok.us