MORGANTOWN – Hope Gas has hit a snag in its rate-hike proposal case for its Pipeline Replacement and Expansion Program – PREP.
Hope told the Public Service Commission on Wednesday that Hope and the natural gas producers who transport gas on its lines have been unable to reach a settlement on their rates. Hope, PSC Staff, the Consumer Advocate Division, Diversified Gas & Oil Corporation and the Producers Issues Committee of the Gas and Oil Association of WV all testified in the case.
Hope told the PSC on Wednesday, “that despite Hope and producers giving prompt and focused time and attention to settlement they are not able to reach agreement on the terms of settlement to resolve this proceeding.”
So on Thursday, Hope asked for an extension on a PSC decision. The PSC order was due by Oct. 27 so the new PREP rates could take effect Nov. 1.
Hope is asking the PSC to defer its order until Feb. 24, 2026, noting that the producers and other parties say the PSC shouldn’t decide on the PREP rates until Hope’s separate base-rate case is resolved, and Hope has agreed to that idea.
If the PSC allows the extension, Hope’s new PREP rates would take effect Feb. 25.
Hope also asked the PSC to allow it to include the additional PREP revenue it would have collected from Nov. 1-Feb. 25 in its 2026 PREP case – the rates for that would take effect Nov. 1, 2026.
PREP program charges are authorized in state code for “cost recovery of projects to replace, upgrade, and expand natural gas utility infrastructure that are deemed to be just and reasonable and in the public interest.”
Hope’s proposed residential PREP rate increases are: existing Hope customers, $2.06 (2.4%); former Peoples Gas, $2.03 (2.58%); former Southern Public Service Company, $1.62 (2.92%); former Standard/Bazzle Gas, $1.80 ( 2.6%); former Consumers Gas, $1.70 (2.45%).
PSC staff has proposed smaller hikes: existing Hope customers, $1.46 (1.70%); former Peoples Gas, $1.44 (1.83%); former Southern Public Service Company, $1.15 (2.07%); former Standard/Bazzle Gas, $1.28 (1.85%); former Consumers Gas, $1.20 (1.74%).
Hope filed its base-rate case with the PSC on April 30. This is its first base-rate case since 2020.
The proposed hikes for residential customers in this case are: existing Hope Gas, $21.10 (25.41%); former Peoples Gas, $27.17 (35.42%); former Southern Public Service, $33.74 (60.77%); former Standard/Bazzle, $28.46 (40.39%); former Consumers Gas, $22.25 (33.61%).
A third rate case, Hope’s 2025 Purchased Gas Application accounts for Hope’s costs to buy the gas it distributes. It received interim approval from an administrative law judge and the new rates would take effect Nov. 1.
Here are the proposed monthly increases for the various groups of residential customers: Hope Gas (legacy), $6.38 (7.33%); former Peoples Gas, $6.36 (7.88%); former Southern Public Service, $5.36 (9.38%); former Standard/Bazzle, $5.80 (8.17%); former Consumers Gas, $5.54 (7.83%).
