The Mississippi Public Service Commission granted approval to Atmos Energy Corp. for a five-year infrastructure expansion initiative and higher natural gas rates for customers beginning Jan. 1, 2018.
As a result, the gas bill of a typical residential customer is expected to increase by $2 per month, which would partly go to infrastructure improvements such as repairs and replacement of aging pipelines, The Associated Press reported Dec. 5. The rate increase would boost Atmos' revenue in Mississippi by about $9 million in 2018, an Atmos spokesman told the AP.
Separately, under the approved initiative, Atmos would expand its natural gas distribution services to up to 1,000 households per year. Atmos expected spending for the initiative to be up to $5 million per year. The approval also extended authority for the utility's performance-based rate mechanism and asset management plan, according to the Dec. 5 order issued by the commission.
The regulator also required Atmos to make proposals for implementation and other activities connected to the infrastructure expansion within 30 days of the order.
Dallas-based Atmos provides natural gas to more than three million customers across eight states. It is the largest gas distributor in the states of Texas, Louisiana and Mississippi.
