Columbia Gas of Kentucky customers will pay 16 percent less for natural gas in the next three months because the state Public Service Commission has approved the utility's quarterly gas-cost-adjustment proposal, which will be in effect until June.
Customers who are supplied by Columbia Gas and have been for the past 12 months will pay $5.8813 per thousand cubic feet, down from $6.9981. People who are Columbia Gas customers but previously were in the company's Customer Choice program, which uses other suppliers, will pay $7.2179, down from $7.2208.
Columbia Gas adjusts its prices quarterly to reflect market conditions. Utilities are not permitted to make a profit on the cost of natural gas, which accounts for about 60 percent of bills. Gas costs are estimated, and actual costs from the same quarter a year ago are reflected in those estimates. The company overestimated its costs and charged more last year, leading to lower prices this year for people who also were customers a year ago.