MidAmerican Energy announced On Tuesday, it submitted a petition to the Iowa Utilities Commission (IUC), which could result in an additional fee being applied to natural gas consumers' payments.
The energy firm stated that the fee they submitted can solely be utilized for essential system upgrades aimed at ensuring the safety and reliability of their services.
Ensuring our clients have access to secure and dependable service is our top concern," stated Nick Nation, the senior vice president of delivery at MidAmerican. "This modest fee helps us sustain our expanding neighborhoods and uphold the security and dependability of our natural gas distribution network.
The proposed change, pending approval before implementation, is anticipated to result in a rise of either 0.4% or 17 cents for the typical Iowa household’s natural gas bill, according to the firm. Additionally, they mentioned that every single gas customer ought to have received notification about potential price hikes via postal mail.
MidAmerican states that it provides natural gas services to 803,000 customers throughout Iowa, Illinois, Nebraska, and South Dakota.
The energy firm states that this extra monthly fee, categorized as a capital investment charge, will assist in funding necessary governmental-regulated investments in natural gas distribution infrastructure along with initiatives aimed at improving the security of their entire gas network.
The projects mentioned in the submission to the IUC have reportedly been finished, as stated by MidAmerican, and so far, they haven't impacted consumer rates.
The document mentions several project instances such as relocating gas lines and infrastructure due to street maintenance, alongside specific safety inspections carried out to comply with federal guidelines.
MidAmerican stated that the IUC will review their petition to decide whether the initiatives mentioned in the submission meet the criteria for a capital investment fee. Following this assessment, the commission will determine the ultimate fee amount.
MidAmerican stated that the IUC would decide when the additional charge might appear on customers’ bills, with the new fee possibly taking effect as early as May 30.