Kentucky Attorney General Stumbo Saves Atmos Energy Customers Millions

Agreement cuts pending natural gas rate increase by nearly half of the amount sought by Atmos

June 29, 2007 -- FRANKFORT, KY (June 29, 2007) - Kentucky Attorney General Stumbo today signed an agreement with Atmos Energy Corporation which reduces a pending natural gas rate increase by nearly half of the amount Atmos originally sought. The agreement limits Atmos to a general increase of $5.5 million, a decrease of slightly more than $4.9 million, or 47.1%, from its original request of approximately $10.4 million.

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In addition to the amount of settlement, Atmos has agreed to withdraw two provisions from its original request which would have guaranteed recovery of certain costs without giving the Public Service Commission and the Attorney General any meaningful opportunity to evaluate those costs.

“Under this agreement, Atmos customers will experience a much smaller increase in their natural gas rates,” said Attorney General Stumbo. “I will continue to closely scrutinize all utility rate increases to ensure consumers are not being required to pay more than is reasonable.”

The Public Service Commission, which must approve the settlement, will hold a hearing on the matter on July 10th, 2007.

Atmos Energy serves almost 173,000 customers in central and western Kentucky.

Source: Kentucky Attorney General