Houston City Council is poised to reject a request from CenterPoint to raise natural gas bills by $5 per month as part of a statewide consolidation that would lower rates elsewhere.
Raising rates
With 1.9 million customers, CenterPoint is one of the state’s largest natural gas providers. For decades, the utility has divided its gas operations into four regions.
One division contains Beaumont and much of East Texas, another covers cities close to the coast, such as Pearland and Sugar Land, a third covers South Texas cities, including Laredo and Victoria, while the fourth and most densely populated covers Houston and nearby areas.
Last October, the utility filed a request with the city and the Railroad Commission to merge all four divisions. CenterPoint says the consolidation would reflect the reality of how it manages its operations in Texas as one unit.
The company declined an interview request. In a statement, CenterPoint spokesperson Logan Anderson said the consolidation would improve “operational and administrative efficiency.” The company says that raising rates will allow it to pay for investments such as gas meters with automatic shutoff valves that can respond to excess flow.