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Southwest Gas Customers Get 7.6% Rate Hike

Southwest Gas raised prices by 7.6% at the end of January. This is on top of a larger increase in 2021. And, the rate is higher for small businesses, who see an increase of 13.7 percent.
Cassandra Profita
/
Oregon Public Broadcasting
Southwest Gas raised prices by 7.6% at the end of January. This is on top of a larger increase e in 2021. And, the rate is higher for small businesses, who see an increase of 13.7 percent.

Southwest Gas customers in Arizona will have to shell out more cash to pay for their monthly natural gas bills.

Southwest Gas raised prices by 7.6% at the end of January. This is on top of a larger increase e in 2021. And, the rate is higher for small businesses, who see an increase of 13.7 percent.

“It's really bad news," David Jenkins, President of Conservatives for Responsible Stewardship, told KAWC. "It comes on the heels of a 9.7% hike that went into effect in 2021. That's more than a 16% increase over two years.”

Southwest Gas was able to raise their rates, with approval from the Arizona Corporation Commission.

The additional revenue will be used to pay for running gas lines into new areas, among other expenses usually paid for by utilities.

Jenkins says, the company is essentially gaming the system to eliminate the risk of operating a business, by passing along costs to customers.

And, he added, there is no way to reverse the rates, and calls on the commissioners to deny future requests for rate hikes.

“Next year when Southwest Gas bellies up to the trough for yet another rate hike, tell them to just say no. It's basically an addiction to rate increases, and until the ACC stands up and and says, finally, 'OK enough enough,' they're just gonna keep.”

Chris McDaniel is a Yuma native and fourth generation graduate of Yuma High School. He began his print journalism career at the Yuma Sun as a reporter in 2009. He later worked in the Pacific Northwest as an editor for Peninsula Daily News, as arts editor for The Port Townsend and Jefferson County Leader, and as publisher for a small weekly newspaper in the badlands of Montana. He is a graduate of Peninsula College, where he earned a Bachelor of Applied Science in Management degree. He has served as host for KAWC's Morning Edition and All Things Considered and spends much of his time gathering reports from the field in Yuma and La Paz Counties.