Tue November 26, 2024

By Jeff Smithpeters

Local leaders react after Arkansas Public Service Commission oks Summit Utilities rate hike
Reaction by two local leaders has come in to the decision by the Arkansas Public Service Commission to allow Summit Utilities to raise the rates it can charge for its provision of natural gas services to Arkansas residents but to delay nearly a quarter of the increase until March 31st of 2025. 

The utility asked back in January for an increase to finance maintenance and upgrades to its distribution system and to customer service-related technology and facilities. Since then the Arkansas Public Service Commission’s three members have been investigating the request as part of the process of deciding whether to grant a rate increase. 

On November 22nd, the commission made its decision public, releasing a report of its proceedings which included public hearings as well as examination of documents supplied by Summit Utilities. 

As reported by KATV Channel 7’s Payton Dhooge, “The commission has approved a natural gas rate increase of 23.4% but required Summit to delay a portion of that increase until April. The proposed rate increase will take effect during the winter months of 2024 and 2025 when gas usage is the highest.” (The story by the Little Rock station also provides a full copy of the report released by the APSC.) 

The story explains that the average bill is likely to increase by about $15.43 starting next month, and then another $4.37 starting in April. 

NAACP Hempstead County Chapter President Sylvia Brown, who testified at the public hearing APRC held on the proposed increase in late October said about the decision announced last week, “After speaking with commission staff and the commissioners, they tried to put lipstick on a pig. The only elected official in the matter, Attorney General Tim Griffin, never responded to me and other consumers. 

“I'm disappointed the commission really had no recourse to reopen the deliberations and take a better course for residential consumers. A course that would include requiring Summit Utilities to increase its education and awareness about federal energy efficiency programs and target more funding to residential energy efficiency retrofits for vulnerable neighbors. 

“The investigative report directed by the Arkansas Legislature may give a bigger perspective on how to hold Summit Utilities accountable for its business decisions.” 

Arkansas Representative Danny Watson, commenting Monday about the APRC decision, said, “I am delighted that the APSC listened to the concerns resulting in a better result more favorable to Arkansas ratepayers. Summit Utilities did receive approval beginning next month to raise rates 23.4% but Arkansas ratepayers caught a break when the APSC ordered to delay part of the increase until March. 

“According to the agreement, the average residential bill will increase $15.43 a month, an average monthly increase of 23.4%.  Personally, I very well realize this is something that cannot be forgiven but unfortunately are things we all have to face in trying economic times,” he said. 

Emails sent to state Senator Steven Crowell and State Representative-elect Dolly Henley Monday morning seeking their comments were not answered as of this story’s writing. 

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