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Public Service Commission Orders Rate Relief

Public Service Commission Orders Rate Relief

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SALT LAKE CITY (AP) -- Questar Gas was ordered today by the Utah Public Service Commission to refund customers 28 (M) million dollars the utility spent in the last five years to process natural gas.

Questar's president Alan Allred says the company disagrees with the ruling, and it will wind up costing customers more.

The Utah Public Service Commission approved a rate hike that took effect in January 2000 to cover some of the costs of a gas reprocessing plant near Price.

That plant, owned by a Questar affiliate, lowers the content of carbon dioxide from coal-bed gas introduced in the mid-1990s that blocked higher-quality gas produced in Wyoming from reaching the Utah market.

Last August, the state Supreme Court overturned a rate hike to cover some of the costs involved.

It was sent back to the commission, which ruled today that utility did not prove its rate hike case.

(Copyright 2004 by The Associated Press. All Rights Reserved.)

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