Columbia Gas of Kentucky customers will pay less for natural gas in the next three months, as the utility's gas cost adjustment proposal has been approved by the state Public Service Commission.
Customers who are now supplied by Columbia Gas and have been for the past 12 months will pay $7.9067 per Mcf, or thousand cubic feet, down 22 percent from $10.1224 per Mcf. People who are now Columbia Gas customers but previously were not will pay $5.9687, down from $8.1854 per Mcf.
The difference comes because gas costs are estimated, and actual costs from the same quarter a year ago are reflected in these estimates. In this case, the company underestimated its costs and charged less last year, leading to the slightly higher prices now for people who were also customers a year ago.
The cost of natural gas, which under law is passed along at the same cost that the utility pays, accounts for about 70 percent of bills.