OKLAHOMA CITY, June 26 /PRNewswire-FirstCall/ -- ONEOK, Inc. (NYSE: OKE)
announced that its Oklahoma Natural Gas Company division today filed an
application with the Oklahoma Corporation Commission seeking a $66.08 million
increase in the utility's base rates. The company has not had a base rate
adjustment since July 2005.
In testimony prepared for the rate case, Oklahoma Natural Gas Company
President Roger Mitchell pointed out that several expenses that now appear as
separate line-item charges on customers' bills would be moved into base rates
under this proposal, effectively reducing the requested rate increase to a net
amount of $37.6 million.
Mitchell explained that since the company's last increase in 2005,
Oklahoma Natural has invested more than $162 million, or 27 percent, in its
rate base. In addition, operating expenses, such as labor, operations and
maintenance, have increased during that same period of time.
Mitchell also said the company has continued to operate efficiently,
effectively and reliably, while providing superior service. "We have been
able to do this through our commitment to maintaining, improving and expanding
the extensive infrastructure that makes Oklahoma Natural's utility service
accessible to Oklahomans," he said.
The rate application also continues the company's migration from
traditional rate cases to performance-based rates under an order previously
approved by the Oklahoma Corporation Commission. When fully implemented,
performance-based rates will provide for a streamlined annual review of the
company's performance and will result in rate adjustments that are less
substantial than might be experienced when rate cases are years apart.
Mitchell said the new process will also allow Oklahoma Natural Gas to share
improved efficiency benefits with its customers.
The company estimated that the proposed rate increase would result in an
average Oklahoma Natural Gas residential customer paying approximately $5 per
month more for the utility's natural gas delivery service.
In accordance with Oklahoma law, the Oklahoma Corporation Commission will
have 180 days to consider Oklahoma Natural Gas Company's proposed rate
changes.
Oklahoma Natural Gas Company is the state's largest natural gas utility,
serving more than 800,000 customers across three-quarters of the state of
Oklahoma.
ONEOK, Inc. (NYSE: OKE) is a diversified energy company. We are the
general partner and own 45.3 percent of ONEOK Partners, L.P. (NYSE: OKS), one
of the largest publicly traded master limited partnerships, which is a leader
in the gathering, processing, storage and transportation of natural gas in the
U.S. and owns one of the nation's premier natural gas liquids (NGL) systems,
connecting NGL supply in the Mid-Continent and Rocky Mountain regions with key
market centers. ONEOK is among the largest natural gas distributors in the
United States, serving more than two million customers in Oklahoma, Kansas and
Texas. Our energy services operation focuses primarily on marketing natural
gas and related services throughout the U.S. ONEOK is a Fortune 500 company.
For information about ONEOK, Inc., visit the Web site: www.oneok.com.
OKE-FV
Analyst Contact: Dan Harrison
918-588-7950
Media Contact: Don Sherry
405-551-6738
SOURCE ONEOK, Inc.
-0- 06/26/2009
/CONTACT: Analysts, Dan Harrison, +1-918-588-7950, or Media, Don Sherry,
+1-405-551-6738, both for ONEOK, Inc./
/Web Site: http://www.oneok.com /
(OKE OKS)
CO: ONEOK, Inc.; ONEOK Partners, L.P.; Oklahoma Natural Gas Company
ST: Oklahoma
IN: OIL GAS UTI
SU:
PR
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5699 06/26/2009 08:00 EDT http://www.prnewswire.com