Lubbock City Council approves utility rate hike - KCBD NewsChannel 11 Lubbock

10/8/09

Lubbock City Council approves utility rate hike

LUBBOCK, TX (KCBD) - The City Council approved an Atmos rate hike in the Thursday morning meeting that will cost customers more to have heating gas piped into their homeson a per btu basis, but customers will also see a break in monthly fees.

Atmos Energy rates will drop more than $2.40 from monthly residential customer fees, but will take more than $1.7 million from home customers by nearly doubling fees they pay for each unit of gas they use, starting with their October bills.

Residential customers using the city average for gas in October each month will pay Atmos less than a dollar extra each month.

Although customers will see the higher monthly fee, the company says the fuel cost portion of people's bills will go down, because natural gas costs are down.

Atmos believes that most Lubbock households will actually pay less for natural gas this winter.

Atmos originally sought monthly fees from customers worth a total of $3.4 million.  The city hired a consultant who concluded that it should be more like $2.5 million per the terms of previous negotiations between the two sides.

The two sides settled on $2.65 million according to public records.

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