NW Natural's Oregon Customers to See Nearly a 7% Reduction in Rates

Media Contact: Melissa Moore, NW Natural melissa.moore@nwnatural.com, 503-818-9845 (pager)

FOR IMMEDIATE RELEASE

September 15, 2015

 

NW Natural's Oregon Customers to See Nearly a 7% Reduction in Rates

Falling gas prices mean lower bills this winter

PORTLAND, Ore. — For the fifth time in seven years, NW Natural (NYSE:NWN), is requesting a rate reduction for Oregon customers. If approved by the Public Utility Commission of Oregon (PUC), residential customer rates will decrease by almost 7% starting Nov. 1.

This means customers will pay less for natural gas than they did 15 years ago.

“This is good news for customers,” said Randy Friedman, director of NW Natural gas supply. “The cost of natural gas has continued to drop this year and is expected to remain low for the next few years.”

What customers can expect

The filing calls for a 6.7% drop in residential rates and a 7.4% reduction for commercial customers. That means the typical residential customer using an average of 53 therms per month would pay about $4.14 less, and the typical commercial customer would pay $17.54 less per month.

The proposed rate reduction is in addition to the $9.6 million bill credit that NW Natural passed back to Oregon customers in June, which was a result of efficient use of storage and pipeline facilities.

What we filed

On Sept. 15, NW Natural filed a proposed rate adjustment with the PUC which reflects lower projected natural gas commodity prices for the coming year, as well as other year-to-year adjustments and costs approved by regulators.

The primary factor in this year’s rate reduction is the decline in wholesale gas prices thanks to an abundant domestic supply of natural gas. Also factored into this year’s rates are the costs of using additional storage capacity at NW Natural’s Mist Storage facility and recovery of environmental clean-up costs related to legacy manufactured gas plant operations.

Regulators will issue a final decision on rates by the end of October, with new rates effective Nov. 1. Find more information in the Rates & Regulations section of nwnatural.com or call 503-226-4211 and ask for the Rates & Regulatory Department.

About NW Natural

NW Natural (NYSE:NWN) is headquartered in Portland, Ore., and provides natural gas service to about 707,000 residential, commercial and industrial customers in Oregon and Southwest Washington. It is the largest independent natural gas utility in the Pacific Northwest. Additional information is available at www.nwnatural.com.

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