Enbridge Gas Ohio challenges tariff ruling cutting its revenues by $30mn

Enbridge Gas Ohio is assessing its legal options following the Ohio regulator's decision to cut its revenues, citing potential threats to investment and future customer costs.

Share:

Enbridge Gas Ohio stated it is examining its legal options following a recent decision by Ohio’s public regulator significantly reducing its annual revenues as part of its 2023 base rate case filing. This ruling, issued by the Public Utilities Commission of Ohio (PUCO), notably involves a revenue reduction exceeding $30mn, related to the management of retiree pension funds.

Investment repercussions

According to the statement from Enbridge Gas Ohio, published by PRNewswire on June 27, the company expressed concern over potential consequences of this measure on its ability to maintain competitive customer rates. It also highlighted possible negative impacts on Ohio’s attractiveness to energy-sector investors.

The company explicitly stated that PUCO’s $30mn revenue reduction constitutes, in its view, an unjustified penalty related to its sound financial management. According to the company, the pension fund in question benefits from rigorous management, ensuring optimal financial security for retirees without unduly affecting consumer rates.

Current tariff situation

Currently, Enbridge Gas Ohio customers are among those enjoying the lowest natural gas rates in the state. The company emphasises that forced revenue reductions could complicate the long-term maintenance of adequate infrastructure capable of providing stable natural gas supply at controlled costs.

The company also stresses its ongoing commitment to maintaining and developing its networks, affirming that regular investments ensure safe and consistent distribution, crucial for its commercial and industrial operations as well as residential consumption across Ohio.

Next steps for Enbridge

The company now plans a period of thorough analysis of possible legal avenues to contest the regulatory decision, which it considers penalising for its future operations. Enbridge Gas Ohio specifies, however, it will maintain ongoing dialogue with authorities to ensure a favourable outcome for consumers and its own financial and strategic objectives.

Enbridge Gas Ohio is a subsidiary of Enbridge Inc., one of North America’s leading energy companies, particularly specialised in managing natural gas and oil distribution networks.

The Sharjah Electricity, Water and Gas Authority has completed a natural gas network in Al Hamriyah, spanning over 89 kilometres at a total cost of $3.81mn.
The European ban on fuels refined from Russian crude is reshaping import flows, adding pressure to already low inventories and triggering an immediate diesel price rally.
LNG trading volumes in the Asia-Pacific region reached 1.24 million tonnes, driven by summer demand and rising participation, despite a 21% monthly decline linked to geopolitical uncertainty.
Subsea 7 S.A. has announced a major contract signed with Equinor for the engineering and installation of subsea infrastructure at the Fram Sør gas field, located in the North Sea off the coast of Norway.
The Republic of Congo and Eni confirm the expansion of the Congo LNG project and multiply industrial initiatives to strengthen energy supply and strategic sectors.
Italian group Eni signs a twenty-year liquefied natural gas supply contract with US-based Venture Global, covering two mn tonnes per year and marking a first for the company from the United States.
The discovery of the Gajajeira field marks a major step for Angola, strengthening its natural gas development strategy and diversifying national energy resources in a context of sector transition.
The Voskhod vessel, under US sanctions, docked at the Arctic LNG 2 plant in Russia, marking the second visit by a sanctioned ship to the site this year, according to maritime tracking data.
Japan has urgently secured several additional cargoes of liquefied natural gas from the United States to avert an imminent electricity supply shortage caused by rapidly declining national reserves expected at the end of July.
The European Commission has unveiled a proposal to prohibit the import of Russian gas into the Union, sparking intense debate on its feasibility, contractual impact and consequences for supply security among several Member States.
CNOOC Limited announces the discovery of a significant oil and gas reservoir in the buried hills of the Beibu Gulf, opening new opportunities for shallow water exploration off the coast of China.
PPL Corporation and Blackstone Infrastructure announce a strategic partnership to develop new gas-fired power plants to supply electricity to data centers through long-term contracts in Pennsylvania.
Falcon Oil & Gas Ltd announces a new record initial flow test result at the Shenandoah S2-2H ST1 well and the start of its 2025 drilling campaign in the Beetaloo Basin.
The Azule Energy consortium has identified a significant gas and condensate field during Angola’s first exploration drilling dedicated to gas, marking a milestone for the country's energy sector.
Technip Energies has secured a contract to lead preparatory works for a floating liquefied natural gas unit in Africa, confirming its presence in the international gas infrastructure market.
The Slovak government is seeking guarantees from the European Union to secure its supplies as talks continue over ending Russian gas and adopting a new round of sanctions.
ArcLight Capital Partners announces the acquisition of Middletown Energy Center, a combined-cycle natural gas power plant, aimed at meeting the substantial rise in energy demand from data centers and digital infrastructure in Ohio.
The commissioning of LNG Canada, the first major Canadian liquefied natural gas export facility led by Shell, has not yet triggered the anticipated rise in natural gas prices in western Canada, still facing persistent oversupply.
Horizon Petroleum Ltd. is advancing towards the production launch of the Lachowice 7 gas well in Poland, having secured necessary permits and completed preliminary works to commence operations as early as next August.
European Union member states have requested to keep their national strategies for phasing out Russian gas by 2027 confidential, citing security concerns and market disruption risks, according to a document revealed by Reuters.