What happened
Council unanimously supported suspending a request by CoServ Gas to increase natural gas rates until Sept. 17, which could result in an 18.5% increase for residential customers per monthly bill.
Council members also approved a negotiated settlement that will increase natural gas rates for customers with Atmos Energy, lowering the rate increase revenue from $245.2 million to $205.6 million
CoServ applied for a rate adjustment in July, following Atmos’ filing in April.
According to a news release from CoServ, the rate increase is necessary due to “inflationary pressure on costs related to the investment in capital infrastructure, including materials and labor costs” from 2023.
What you need to know
Plano’s gas services are provided by Atmos and CoServ, with CoServ providing services primarily in north and far west Plano, according to city documents.
Under the negotiated settlement, Atmos residential customers will see an increase of $7.83 a month, and commercial customers will see an increase of $25.73 a month, according to city documents.
Additionally, the proposed CoServ increase could raise residential customers’ monthly bill by an average of $3.33, according to city documents. Commercial customers could pay an additional $8.05 per monthly bill, according to the release from CoServ.
While CoServ’s rate adjustments are still under review, Atmos’ increase will go into effect Oct. 1.
One more thing
CoServ’s rate increase was originally scheduled to go into effect Sept. 17, but the company is planning to defer the effective date to Jan. 1, 2026, according to the release from CoServ.
