PUBLIC SERVICE COMMISSION OF WEST VIRGINIA CHARLESTON CASE NO. 18-0263-G-390P UNION OIL & GAS, INC., a public utility, Charleston, Kanawha County. Surcharge on Gas Infrastructure Improvements NOTICE OF FILING AND HEARING On February 22, 2018, Union Oil & Gas, Inc. (Union) filed an application for approval of an Infrastructure Replacement and Expansion Program (IREP) under the provisions of Senate Bill 390 that was enacted during the 2015 regular session of the West Virginia Legislature. Senate Bill 390 authorizes the Public Service Commission of West Virginia to approve expedited cost recovery of projects to replace, upgrade and expand natural gas utility infrastructure that are deemed to be just and reasonable and in the public interest. In its Application, Union proposes to implement a one-year IREP, scheduled to begin on December 1, 2017. During this one-year period, Union proposes to invest approximately $1.8 million for infrastructure enhancement associated with connecting to the TransCanada's Mountaineer Xpress Pipeline, or MXP. The IREP will provide for continued and enhanced safety and reliability of Union's natural gas infrastructure and provide for more economic natural gas utility service. This project is identified in the Application, which is on file and available for public inspection at the Commission's offices at 201 Brooks Street, Charleston, West Virginia. Union proposes to recover costs associated with this investment through an additional increment within the volumetric base rate component of its rates, to be effective on July 22, 2018. Union projects that if the program and rate increment are approved as requested, the average monthly bill for its various classes of customers will be changed on July 22, 2018, as follows: Residential (4 mcf usage) ($) INCREASE $ 0.93 (%) INCREASE 1.99% Commercial (21 mcf usage) ($) INCREASE $ 4.89 (%) INCREASE 2.57% Public Authority (30 mcf usage) ($) INCREASE $ 6.98 (%) INCREASE 2.62% Transportation (1,052 mcf usage) ($) INCREASE $132.66 (%) INCREASE 4.03% The increases shown above are compared to the rates currently in place and are based on averages of all customers in the indicated class. Each class may receive an increase greater or less than stated here. Individual customers may receive increases that are greater or less than average. The Commission set a procedural schedule, including a hearing on the Application if necessary, that will begin at 9:00 a.m. on May 31, 2018, in the Howard M. Cunningham Hearing Room at the Commission's offices at 201 Brooks Street, Charleston, West Virginia. If no opposition to the Application is received by the Commission within one week of the hearing date, the hearing may be waived and the Commission may issue a final order within 150 days of the Application filing date. Anyone desiring to intervene should file a written petition to intervene within 20 days following the date of this publication unless otherwise modified by Commission order. All requests to intervene should briefly state the reason for the request to intervene and comply with the rules on intervention set forth in the Commission's Rules of Practice and Procedure. The Commission will receive public comments until the beginning of the hearing. All written comments and requests to intervene should state the case name and number and be addressed to Ingrid Ferrell, Executive Secretary, P.O. Box 812, Charleston, West Virginia 25323. Public comments may also be filed online at http://www.psc.state.wv.us/scriots/onlinecomments/default.cfm by clicking the "Formal Case" link. UNION OIL & GAS, INC. LH-61420 4-18;2018
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