Natural gas providers in Georgia concede prices here are higher than the national average, but on Thursday they challenged federal findings that put average costs nearly 40 percent higher.
Gas marketers appeared before the Public Service Commission on Thursday to defend their pricing and denounce a federal Bureau of Labor Statistics report that said metro Atlanta consumers paid 37.1 percent more than the U.S. city average for piped gas last November.
In Georgia, "you're looking at 11.1 percent higher (prices) versus 37.1 percent in the BLS report," said Georgia Natural Gas attorney Thomas Mew, according to Channel 2 Action News.
Marketers said costs here are higher partly because of the shorter winter in the South compared with the longer heating season, with more usage, in the North.
“We are not able to spread those costs over a longer heating season,” said Meredith Hodges of Gas South.
Many customers also opt for variable rates, which are higher compared with rates for customers who enter contracts to pay the same amount each month.
“Some customers don't want to have to enter into a contract, and they're willing to pay a premium for the variable rate,” Scana Energy attorney Joel McKie said.
Tim Echols, who soon will take over as PSC chairman, said, “Our consumers are getting a fair price, and the competitive market is working here in Atlanta.”
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