Corporation Commission to review natural gas costs in Panhandle and NW Oklahoma

The Natural Gas Reality Check—A $96 Billion Price Tag?


If the Oklahoma Corporation Commission approves a fuel adjustment clause request for Panhandle Natural Gas, it will affect about 4,700 customers in northwest Oklahoma and the Panhandle.

An Administrative Law Judge will hold a hearing on the matter Thursday morning at 10:30 a.m. and hear testimony to determine if Panhandle’s various charges and credits are properly computed in accordance with the rules and regulations.

The application covers the billing period that started Jan. 1, 2022 and ended Dec. 31, 2022.

The Commission’s Public Utilities Division is recommending approval following a prudence review of all the fuel procurement processes and costs during the year. The request was formally sought by Panhandle Natural Gas, Inc. West Texas Gas, Inc. and First Natural Gas. (CASE PUD 2023-000014 )

During 2022, Panhandle served 93 customers in Beaver and Texas Counties and expended $76,415 on natural gas purchases for the customers. Its costs in 2021 were $81,502.

West Texas served 4,613 customers in seven counties, Cimarron, Texas, Woodward, Harper, Ellis, Roger Mills and Dewey during 2022. It purchased $2,181,525 in natural gas for an average cost of $6.31 per Mcf. At the same time, according to documents on file with the Corporation Commission, West Texas recovered $1,927,242 from the customers.