Questar Gas asks for $6.7 million rate cut in Utah

Questar Gas asks for $6.7M rate cut in Utah; about $3.50 less per year for average customer

• On 12:31 pm EDT, Wednesday September 2, 2009

SALT LAKE CITY (AP) -- Questar Gas is asking the Public Service Commission of Utah to reduce natural gas rates by $6.7 million.

The rate cut requested Tuesday would lower the typical homeowner's bill by about $3.50 a year starting Oct. 1.

Questar Gas, a subsidiary of Questar Corp., and the commission use third-party forecasts of natural gas prices twice a year to estimate how much the utility's rates should be adjusted.

Questar Gas President and Chief Executive Ron Jibson says the cost of buying natural gas for customers has fallen in recent months and is projected to stay low for the next year.

Jibson does caution, however, that natural gas prices can fluctuate with changes in supply and demand.