The Independent-News, Volume 104, Number 42, Walkerton, St. Joseph County, 29 March 1979 — Page 8

MARCH M. W 79 THE INDEPENDENT-NEWS

BETTER HOMES CLUB MEETS Fhe Better Homes Extension Club met on Monday exening. March 2b. with 13 members and two guests Marge Weller and Ruth Vin Baughman, present President Helen Freeman opened the meeting w ith the pledge to the flag followed bx the club creed.

Let's Talk About Gas Rates and Gas Rate Increases

Everyone knows the cost of natural gas has been going up in recent years. But consumers don't seem to know why. So let's talk about gas rates and gas rate increases. Since 1971 customers of Northern Indiana Public Service Gimpany have been experiencing two types of gas rate increases. The Purchased Gas Adjustment or Tracking Increase This type of increase, which accounts for nearly 80 per cent of the increased cost of natural gas to the customer was first introduced in 1970 when the Federal Government allowed the Producers of natural gas to increase their prices to stimulate the drilling of new gas wells and. hopefully, increase the supply of natural gas. Pipeline Suppliers, in turn, were allowed to pass these price increases on to Distribution Companies (like NIPSCO), and in December. 1970. the Public Service Commission of Indiana authorized gas utilities in Indiana to pass along these increased supply costs from producersand pipeline suppliers to consumers, after they had been authorized by the Federal Energy Regulatory Commission. No profit was permitted under the Indiana Commission's order. Only increases or decreases in the cost of (he gas itself could be passed on to customers. Since 1971 there have been 72 gas tracking adjustments, none resulting in additional profits for NIPSCO. It has simply been a flow-through of price increases from the producers to the pipelines, to the distribution companies, and ultimately, to the consumer. General Gas Rate Increases The second type of gas rate increase covers those operating and capital costs, associated with the service to customers, which are directly affected by inflation, such as. wages and fringe benefits, cost of living adjustments, increased interest expense, higher taxes, increased construction costs, higher prices for equipment and supplies, and a reasonable return on the miles and miles of transmission lines, distribution systems, and storage facilities, needed to serve customers. Since inflation has been forcing these costs up faster than we can offset them through belt tightening and operating economies, we had to seek increases in our general gas rates. Such increases are authorized by the Public Service Commission of Indiana only after extensive hearings. The last general gas rate increase (only the third in 29 years) became effective November 27.1978. It wasa9.32 per cent increase and was allowed by the Commission after seven monthsof review.

©Nortiham Indiana Public Sapvioe Company Paid for by the shareholders of Northern Indiana Public Service Company

Roll idll was answered with the prettiest dress 1 ever had. Ihe lesson. "New Old Fabries. Fashion I rend for WN." was pre vented b\ Lois Cover. Eva Stickles and Vida Rax Gerri Rubx gave a report on energy A chili supper will be held on Saturday Max 5. at the Esther

Singer Building at the Fair Grounds. South Bend, by the St. Joseph County Extension Homemakers Association. Tickets are $2.50 and max be purchased from Helen Freeman. Proceeds will help install an educational kitchen in the Esther Singer Building. I he meeting was closed with the club prayer.

i*" USE. am " Eighty per cent of the cost increase in natural gas is paid directly to pipeline companies and producers without profit to NIPSCO The BTU Adjustment The heating content of all fuels are measured in British Thermal Units (BTUs). However, the BTU content of natural gas varies, depending on the pipeline supplier, from approximately 990 to 1.035 BTUs per cubic foot. Asa result, customers living across our 12.1XJ0 square mile service area may receive natural gas with differing BTU’ heat contents, from month to month. In the past, customers were billed for the number of cubic feet of gas used. To establish a more equitable method of charging customers for their gas service, we asked the Public Service Commission of Indiana to allow us to adjust the customer s usage to a 1.000 BTU level since NIPSCO’s gas rates are based on I.(XX) BTUs of heating value. This adjustment is accomplished by applying a weighted BTU factor to the number of cubic feet of gas used as indicated by your meter. You pay only for the BTUs you receive—no more, and no less. Service bills for large commercial and industrial customers have been adjusted on this basis for many years. Low Cost Energy In spite of price increases, natural gas continues to be the best energy buy in northern Imfiana for home heating, cooking, water heating, clothes drying and other household purposes. True, the cost has increased and will probably continue to increase until it reaches a level that is more in line with other fuels. However, the cost of all energy is climbing. That's why we believe natural gas will continue to be the lowest cost fuel available in northern Indiana for many years to come. Incidentally, it’s also the cleanest, most efficient, convenient and dependable fuel you can buy.

A delightful salad was served from a very pretty green and w hite table by the hostess. Janis Hostetter. Door prizes wwe received by lois Cover. Marx Hahn, Ida Mae Watkins and Helen Freeman. A white elephant sale was enjoyed by everyone. On April 23 members will meet at the Community Building at 7:00

a m. for a trip to Mrs. Salyers Quilting Shop, at Teegarden. Helen Freeman will be hostess. Father to teenage daughter. "I want you home by II o'clock." "But. Daddy, I am no longer a child!" she replied. "I know. That's why I want you home bx II."