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AmerenUE to Reduce Purchased Gas Adjustment To Reflect Lower Natural Gas Costs


AmerenUE’s Missouri natural gas customers will pay less under a new Purchased Gas Adjustment that has been approved by the Missouri Public Service Commission (PSC). The new PGA will become effective May 1 for UE’s 127,000 natural gas customers.

For residential customers, the PGA accounts for about two-thirds of a customer’s total bill, excluding taxes.

UE residential customers in the Rolla, Salem and Owensville area will see the greatest savings due to lower transportation charges from MoGas Pipeline LLC—one of the pipelines that the gas must pass through to get to that area. For those customers, the PGA will decline from $1.30 per Ccf (hundred cubic feet) to 87 cents per Ccf. The lower transportation charges are the result of a settlement reached with MoGas Pipeline in a transportation rate case before the Federal Energy Regulatory Commission (FERC).

For UE residential customers in other areas, the PGA will decrease from 75 cents per Ccf to 71 cents per Ccf.

The PGA reflects the wholesale cost of gas from UE’s suppliers, plus the cost of transporting that gas to the UE system. The PGA also includes an adjustment to compensate for any under- or over-collection of actual costs in previous periods. Wholesale gas costs are not regulated, and go up or down based on market conditions of supply and demand. UE passes these costs through to customers, dollar for dollar, through the PGA, without any “markup” in price.

AmerenUE, founded in 1902, provides electric and gas service to approximately 1.2 million customers across central and eastern Missouri, including the greater St. Louis area. UE serves 57 Missouri counties and 500 towns. For more information, visit www.ameren.com.

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Contact: Mike Cleary, 573-681-7137