On October 31, 2023, National Fuel Gas Distribution Corporation filed a request with the New York State Public Service Commission (the Commission), seeking to increase gas delivery revenues by approximately $88.8 million, that if approved would increase the bill of the average residential customer on the budget plan by approximately $11.31, to $93.98 per month, assuming normal weather.

Only the second requested rate increase in the last 15 years.

National Fuel is proud of our long-standing record of keeping prices affordable, resulting in some of the lowest utility delivery rates in the entire Northeast U.S. Careful planning and cost management, as well as our proximity to low-cost natural gas supplies being produced in the Appalachian region of Pennsylvania, Ohio and West Virginia, have allowed us to hold base delivery rates stable for nearly seven years. In fact, Western New York customer bills have actually decreased since 2008, as shown in the chart below.

If approved, the increase will likely begin in Fall 2024.

The increase will be applied to the Delivery Service Charge portion of the bill and, if approved, will go into effect on or about October 1, 2024, assuming the typical Commission review period, which typically takes about 11 months and will include public comment hearings, to be scheduled by the Commission. Until then, National Fuel’s customer delivery rates will continue unchanged.

Here’s why the increase is needed.

• For critical investments to infrastructure and to offset persistently high inflation on the cost of labor, materials and services.
• To help us further align our long-term strategy with New York’s emissions reduction goals.
• For continued investment in system safety, reliability, and greenhouse gas emissions reductions. Since 2017, the Company has accelerated the removal and replacement of pipelines to average more than 110 miles of pipe per year. As a result, it is on track to achieve a 90% reduction in emissions by 2035.
• To implement elements of our 20-year Long-Term Plan, as required the Commission, and pursue decarbonization actions that align with the goals of New York State’s Climate Leadership and Community Protection Act, including:
  • A hybrid heating pilot program to understand the impacts of residential heating and cooling electrification. The pilot will gauge upfront consumer costs associated with retrofitting existing residences as compared to full electrification.
  • A gas demand response pilot program aimed at reducing peak consumption by attempting to shift or eliminate customer usage during constrained peak periods, which typically occur during the coldest days and hours of the year.
  • Research, development and demonstration funding toward projects that advance decarbonization actions and technologies.
  • Two separate pilot programs relating to renewable natural gas and certified natural gas that will help decarbonize our gas supply.
  • Expansion of the workforce to implement these initiatives.

We’re here with support.

Customers who are having difficulty paying bills should call us at 1-800-365-3234 to discuss available payment plans and assistance programs. Nearly $1,400 in funds may be available for each eligible customer.

Customers with questions about the rate case filing can email NYRateCase@natfuel.com.

Thank you for taking the time to learn more about our rate request.

Public Comment Period Announced

Under New York State law, the Public Service Commission (Commission) must consider a utility’s rate proposal and may adopt or reject it, in whole or in part, or modify it. In doing so, the Commission will consider changes proposed by the participating parties and members of the public. Administrative Law Judges (ALJs) are presiding over the gathering of public comments and all evidence relating to the proposal.

Public statement hearings will be held to obtain comments from the public concerning National Fuel’s proposals. PLEASE TAKE FURTHER NOTICE that public statement hearings will be held on:

Virtual:

DATE: Wednesday, January 17, 2024

TIME: 1:00 p.m.

1 P.M. VIRTUAL MEETING INFORMATION: 

• Event Number: 2332 431 6635
• Password: Jan17-1pm
• Phone Access: 518-549-0500
• Access Code: 2332 431 6635
• Phone-in Password: 52617017

TIME: 6:00 p.m.

6 P.M. VIRTUAL MEETING INFORMATION: 

• Event Number: 2337 191 3092
• Password: Jan17-6pm
• Phone Access: 518-549-0500
• Access Code: 2337 191 3092
• Phone-in Password: 52617067

In-Person:

DATE: Wednesday, January 24, 2024

TIME: 1:00 p.m. and 6:00 p.m.

LOCATION: Buffalo and Erie County Public Library, 1 Lafayette Square Buffalo, NY 14203

Those wishing to comment on any aspect of this proceeding will have the opportunity to make a statement on the record before the ALJs. It is not necessary to make an appointment in advance, or present written material to speak at a hearing. Persons will be called to speak after completing a request card. Each public statement hearing will be held open a minimum of thirty minutes and will be kept open until everyone wishing to speak has been heard or other reasonable arrangements have been made to include their comments in the record. A verbatim transcript of each public statement hearing will be made for inclusion in the record of these proceedings.

CASE 23-G-0627 -3- Persons with disabilities requiring special accommodations should call the Department of Public Service’s Human Resource Management Office at (518)474-2520 as soon as possible. TDD users may request a sign language interpreter by placing a call through the New York Relay Service at 711. Individuals with difficulty understanding or reading English are encouraged to call the Department at (800)342-3377 for free language assistance services regarding this Notice.

Other Ways to Comment: For those who cannot attend or prefer not to speak at a public statement hearing, there are several other ways to provide your comments to the Commission. Comments should refer to “Case 23-G-0627 – NFG.” Although comments will be accepted throughout the pendency of these proceedings, they are requested by February 16, 2024.

• Internet or Mail: Go to www.dps.ny.gov, click on “File Search” (located under the heading “Commission Files”), enter the case number (23-G-0627) in the box labelled “Search by Case Number,” and then click on “Post Comments” located at the top right of the page. Alternatively, comments may be mailed to the Hon. Michelle L. Phillips, Secretary, Public Service Commission, Three Empire State Plaza, Albany, New York 12223-1350.1 All written comments will become part of the record considered by the Commission and may be accessed on the Department of Public Service website by searching the case number, as described above, and clicking on the “Public Comments” tab.
• Toll-Free Opinion Line: Individuals may choose to submit comments by calling the Commission’s Opinion Line at 1-800-335-2120. This number is set up to receive comments about pending cases from in-State callers 24-hours a day. These 1 Filing electronically is strongly encouraged. CASE 23-G-0627 -4- comments are not transcribed verbatim, but a summary is provided to the Commission.