Arkansas Households Face 23% Natural Gas Bill Increase as Summit Utilities Adjusts Rates
Little Rock, AR – The Arkansas Public Service Commission has approved a significant increase in natural gas rates for Summit Utilities customers, set to take effect in December. Homeowners can expect an average monthly rise of approximately $15.43 in their energy bills, according to the Arkansas Democrat-Gazette.
This approved increase, totaling over 23%, comes as part of Summit’s efforts to manage rising operational costs and fund essential infrastructure upgrades. The Colorado-based utility provider, which serves around 500,000 customers in the state, had initially filed its request for a rate hike in January 2024.
Summit recently faced challenges during its two-year tenure in Arkansas, including a class-action lawsuit over billing complications and a subsequent pause on collections after intervention from the state’s Attorney General. Despite these issues, the commission’s ruling allows for the collection of costs tied to a devastating winter storm in February 2021, which had previously resulted in approval to recover $330.8 million from customers.
In a bid to lessen the financial burden on residents during the harsh winter months, the commission has mandated that Summit delay the recovery of half of its storm-related costs until after March 31, with these costs expected to add an additional $4.37 per month once they resume in April.
The commission emphasized that this approach aims to smooth the transition for customers adjusting to the new rates, reducing the impact during the coldest months of December through March. As Arkansas braces for the winter chill, this decision may help mitigate some financial strain during a time when many rely heavily on natural gas for heating.
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