Why don nearby natural gas utilities extend their service areas to provide natural gas service to our community?
All states govern the tariffs (the “rate base”) that natural gas utilities are allowed to charge their customers. Most state gas utility tariffs lack any incentive for gas utilities to extend their distribution lines into unserved residential areas. The typical rate base permits the recovery of capital costs (i.e. pipeline construction and maintenance) plus the cost of purchasing the natural gas supply.
Related Questions
- If I want to build on a parcel of land that does not currently have water and sewer service, will the Town extend utilities to my property?
- Why don nearby natural gas utilities extend their service areas to provide natural gas service to our community?
- Are there any immediate plans to extend water service to additional areas in Ocean Acres?
