Natural gas companies propose rate reductions

RALEIGH -- North Carolina's two largest natural gas companies are proposing significant rate reductions for the fall. PSNC Energy is proposing a residential rate cut of about 14 percent. Piedmont Natural Gas has proposed a reduction of about 16 percent for residential users. The News & Observer of Raleigh reported the typical homeowner would save about $24 a month. The two utilities serve nearly 1.2 million customers in North Carolina. The reductions would take effect Oct. 1. Wholesale prices for natural gas are down about 50 percent in the past few months. The North Carolina Utilities Commission must consider the rate reductions, but approval is expected. Natural gas companies can ask the commission to adjust rates monthly. (Copyright 2008 by The Associated Press. All Rights Reserved.)