PUCO Accepts Results of Columbia Gas of Ohio’s Natural Gas Supply Auction

OHIO – The Public Utilities Commission of Ohio (PUCO) approved the results of Columbia Gas of Ohio’s auction for its standard choice offer (SCO). The auction secured natural gas supplies for Columbia’s customers for the period April 1, 2014 through March 31, 2015 and established a retail price adjustment of $1.40 per thousand cubic feet (Mcf).

Columbia’s SCO rate changes monthly and is calculated as the sum of the retail price adjustment, plus the New York Mercantile Exchange (NYMEX) month-end settlement price. The price adjustment reflects the winning bidders’ estimate of their cost to deliver natural gas from the production area to Columbia’s service area.
The SCO will apply to Columbia’s non-choice customers and will continue to allow choice-eligible customers the option to enroll with an energy choice supplier of their choosing, join a government aggregation buying group, or remain on the SCO. Customers who are interested in choosing an energy choice supplier can compare rate offers using the PUCO’s online Apples to Apples comparison charts.

Each SCO customer’s bill will indicate the certified retail natural gas supplier that is responsible for providing the customer’s natural gas. Columbia will continue to deliver natural gas to all customers, offer payment plans, and handle all emergency and customer service calls. Those enrolled in the Percentage of Income Payment Plan (PIPP), government aggregation group customers and those already enrolled with an energy choice supplier are not affected.

On Feb. 4, 2014, World Energy Solutions, Columbia’s auction manager, conducted a descending clock auction for the SCO rate. Bids were submitted by seven natural gas suppliers based on fixed adjustments to the NYMEX settlement price. The names of the five winning bidders will remain confidential for 15 days to protect the suppliers’ positions in contract negotiations with pipeline companies.