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SALT LAKE CITY (AP) -- Questar Gas Co. wants state regulators to allow the utility to change the way it charges customers.
Questar wants to sever the tie between consumer use of natural gas and the company's fixed costs of doing business. It's a process known as "revenue decoupling."
Since 1999, household natural gas use in Utah has dropped about 1 percent annually. That decline reduces Questar's revenue about $12(M)Million each year.
Questar's Director of Regulatory Affairs Barrie McKay says the company is facing the problem of not being able to collect enough money to cover its costs.
Under the proposal, Questar would recalculate its costs every six months and then adjust consumer rates.
Consumer groups object to the proposal. They say decoupling would reduce consumer savings and increase Questar's profits.
Information from: The Salt Lake Tribune
(Copyright 2006 by The Associated Press. All Rights Reserved.)
