Spokane, WA-based Avista Corp. last Wednesday asked regulators in Idaho and Washington state to reduce the utility’s retail natural gas rates to reflect the recent decline in wholesale energy prices. Avista asked for Idaho and Washington reductions of 4.7% and 3%, respectively, effective later in January.

The move by Avista is outside of its annual purchased gas cost (PGA) filing, reflecting the fact that there has been a continuing decline in its wholesale fuel costs since those filings last year to the Idaho Public Utilities Commission (PUC) and the Washington Utilities and Transportation Commission. The adjustments will not impact earnings, Avista said.

In Idaho, the 4.7% decrease translates into nearly $4/month savings for the average residential customer, the utility said. It has asked to make the decrease effective Tuesday. In Washington, the 3% decrease equates to about $2.60/month savings and is proposed to be effective Jan. 16.

Avista said in the two states about 75% of the average residential gas utility bill is due to the cost of gas and pipeline transportation. The rest reflects Avista’s fixed cost to provide natural gas service. The combination utility serves 311,000 retail gas utility customers in three western states, with the bulk being in Washington and Idaho; it has 352,000 electricity customers.

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