Columbia Gas Doing More For Toledo

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Presentation on the proposed rate increase by Columbia Gas

Presentation on the proposed rate increase by Columbia Gas

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  • 1.  
  • 2. Doing more for you in Toledo 2008 and Beyond
  • 3.
    • Columbia Gas of Ohio:
      • Serves 1.4 million customers in
      • 60 Ohio counties
      • In northwest Ohio we serve an estimated
      • 173,000 residential and business
      • customers
  • 4.
    • Columbia Gas of Ohio :
      • Will invest nearly $2 billion in the
      • next 25 years in Ohio
        • Resulting in the safest, most
      • reliable system of delivering clean,
      • cost-efficient energy
  • 5.
    • Major components of the investment :
    • Aging pipeline replacement
      • Modernizes the system for safer delivery and
      • potential economic development
    • Riser replacement program
      • Addresses identified safety issue at no
      • direct cost to impacted customers
    • Customer service line responsibility
      • Customers no longer subject to costly repairs
  • 6.
    • Paying for the program:
      • Columbia Gas does not control the cost of the delivered product – natural gas
      • Through a base rate set by the Public Utilities Commission of Ohio (PUCO), Columbia raises revenues from customers to pay for the natural gas delivery system
  • 7.
    • Columbia’s base rate:
      • Columbia is seeking approval from the PUCO
      • for an increase in its base rate:
        • It’s the first such request since 1994
      • The application was filed with the PUCO on
      • March 3 rd
        • The proposed rates will take effect
        • in late 2008
  • 8.
    • Scope of the rate case:
      • Since 1994, Columbia has invested nearly
      • $800 million in system improvements
    • Without a rate adjustment, funds will not be available for necessary infrastructure improvements
  • 9.
    • Benefits of the rate adjustment:
      • Fixed charges bring stability to customer bills
      • and the delivery system
      • Funds are available for improved, systematic
      • infrastructure replacement program
      • Customer convenience programs can proceed
      • Support for energy conservation programs for
      • residential and business customers
  • 10.
    • Doing more for you in the area of:
      • SAFETY – Riser replacement program
      • RELIABILITY– Pipeline replacement program
      • CONVENIENCE – Meter move outs and other
      • improvements
      • COSTS – Customer service lines, conservation
      • programs
  • 11. Comprehensive Riser Safety Program: Statewide, Columbia Gas will replace approximately 320,000 prone-to-fail risers. In Toledo, 26,000 risers will be replaced at a cost of $13 million.
  • 12.
    • Benefits of Riser Safety Program:
    • Improved community safety
    • Eliminates high potential repair cost
    • for consumers
    • Meter move-outs where applicable
    • Additional jobs for Toledo area workers
  • 13.
    • Pipeline Improvement Program:
    • Columbia Gas has begun investing about
    • $2 billion to replace and upgrade approximately
    • 4,000 miles of natural gas distribution pipelines.
    • This 25-year improvement program will see Columbia Gas invest approximately $70 million annually.
  • 14.
    • In Toledo Columbia will invest $200 million by replacing 450 miles of aging pipe and replacing it with modern, long-lasting plastic.
      • Local Projects include:
        • 12,500 feet of underground pipeline near South and Ogden at a cost of $1.6 million.
        • 11,000 feet of underground pipeline near Broadway at a cost of $1.1 million
  • 15.
    • Benefits of Pipeline Improvement Program:
    • Increases reliability and safety
    • Assists economic development in some areas
    • Creates jobs for local contractors
    • Moves meters outdoors at no cost to the customers
    • Ensures safe, reliable delivery of the most environmentally friendly fossil fuel, enhancing the environment of Toledo
  • 16.
    • Customer Service Line Program:
        • Columbia Gas has assumed responsibility
        • for customer service lines with hazardous leaks.
        • Protects customers from potentially costly repair
        • bills
  • 17.
    • Benefits of Customer Service Line Program:
    • Improved community safety
    • Increased customer safety
    • One number to call for repair service
    • Emergency service available 24/7
  • 18.
    • Benefits of Customer Service Line Program:
    • Eliminates customer uncertainty if a gas leak
    • occurs
    • Repairs done with no direct cost to the customer
    • Ensures repairs are done consistently
    • Clear understanding of customer responsibility
  • 19.
    • Comprehensive Energy Efficiency Program:
    • Beginning in 2009, Columbia will help customers
    • in Toledo save on their natural gas bills by:
        • Providing residential and small commercial
        • customers new tools to reduce their gas usage
        • and their bills
        • The result will be a reduction in annual consumption by 0.75 to 1 per cent by 2011 – saving customers millions of dollars
  • 20. Scope of Energy Efficiency Program: Columbia Gas of Ohio will spend more than $46 million statewide over three years to both support the new program and continue its nationally recognized WarmChoice weatherization program. Industry standard tests will be applied to ensure that the program is cost-effective.
  • 21.
    • Benefits of Energy Efficiency Program:
      • Lower natural gas bills through reduced natural
      • gas consumption
      • Help the environment through conservation of
      • natural gas.
  • 22.
    • Columbia Gas of Ohio is a valuable member of our business community:
    • A recent study from the Regional Growth Partnership showed:
      • Columbia Gas is responsible for one-percent of northwest Ohio’s economy
      • Columbia Gas is responsible, directly or indirectly, for 500 jobs in northwest Ohio
      • Columbia Gas represents $20 million in annual payroll in northwest Ohio
  • 23.
    • Columbia Gas of Ohio is committed to supporting Toledo
    • Columbia is a community partner in Toledo, supporting events and organizations that enhance the quality of life, including:
      • The American Red Cross, Smoke on the Water, Salvation Army, Toledo Symphony, Toledo-Lucas County Public Library, Toledo Mud Hens, University of Toledo, Jamie Farr Owens Corning Classic, Toledo Regional Chamber of Commerce, Regional Growth Partnership, Old Newsboys Association, Neighborhood Housing Services, Local Initiatives Support Coalition, Boys and Girls Club, Big Brothers/Big Sisters, Toledoans USA, United Way, Toledo Children’s Hospital, Toledo Zoo, Greater Toledo Urban League, Toledo Police Patrolman’s Association, Toledo Botanical Garden, March of Dimes, Juvenile Diabetes Research Foundation, Owens Community College, FOCUS, Toledo Museum of Art, American Heart Association, Toledo Public School Foundation
  • 24.
    • Doing more for you:
      • Investment in communities across Ohio
      • Modern delivery system to meet Ohio’s needs
      • Safe and reliable delivery of clean, cost-efficient
      • energy source
      • Commitment to energy conservation and assisting
      • customers in need
      • Meeting Ohio’s energy needs today and tomorrow
  • 25.