Natural gas rates in the Carolinas are headed down again, according to Piedmont Natural Gas Co.. As a result, Piedmont said it has filed for a gas service rate decrease that should make its customers in the Carolinas see their gas bills decline by 15-20% this winter compared to last winter, assuming normal weather.

For the fifth time in North Carolina and the third time in South Carolina since last winter, Piedmont said it filed for a decrease in its rates for natural gas service, which will become effective Oct. 1. The decrease reflects the “continuing and substantial decline” in the wholesale cost of gas since last winter nationwide. If approved by each state’s utilities commission, Piedmont’s October rates will be lower than they were last October.

The company attributed the decrease to increasing supply, milder weather and reduced demand, which have had a positive effect on wholesale gas costs.

Assuming normal weather, Piedmont said customer’s bills in December and January should be substantially lower than for the same months last winter, and even lower than the 15-20% reduction forecast for the entire winter period. December weather in the Carolinas last year was 37% colder than normal, which combined with high wholesale gas prices, produced customer bills as much as double those of the previous year.

The company added that its gas storage levels are in line with levels nationwide, which are “healthy levels.” For the week ending Sept. 7, the American Gas Association reported storage 81% “full” as compared to 69% the year earlier. Piedmont said approximately 33% of its winter gas needs are met with gas that it stores over the summer period.

Piedmont Natural Gas is an energy and services company that is involved in the transportation, distribution and sale of natural gas to over 700,000 residential, commercial and industrial customers in North Carolina, South Carolina and Tennessee.

©Copyright 2001 Intelligence Press Inc. All rights reserved. The preceding news report may not be republished or redistributed, in whole or in part, in any form, without prior written consent of Intelligence Press, Inc.