A WIN FOR PRODUCERS

PIOGA has been working hard on your behalf and has secured a valuable victory for producers on all Peoples systems. In a settlement with Peoples and the PUC we negotiated on your behalf for:

• 2 cent gathering rate reduction on conventional production ($0.26 to $0.24); 

• Applying that reduced fee to the entirety of the Peoples distribution system;

• Peoples water vapor moisture curve will be applied systemwide, streamlining your operations cost to one standard; and

• Reserving PIOGA’s ability to intervene in future Peoples rate cases and challenging proposed tariffs in the future. 

The win was formalized on September 12, 2024, when the PUC voted 5-0 to adopt the recommended decision of PUC Administrative Law Judge Mary D. Long and approve a non-unanimous settlement, along with a low-income stipulation, for the Peoples Natural Gas distribution system. This settlement finally unifies all three systems (Equitable, Peoples, and TW Phillips) under the same tariff. PIOGA went to bat for producers with Peoples, the PUC, and other parties and achieved a fantastic result.

In an additional win, PIOGA earned the right for members to participate in the PPCC (Peoples Producers Cooperation Committee). The PPCC will address operational issues, such as gas quality, pipeline replacements and abandonments, seasonal regulator adjustments, and ways to bring more locally produced natural gas to the Peoples system. It will also address issues concerning the Master Interconnect and Measurement Agreement (MIMA) as amended by the 2023 base rate settlement. PIOGA expects new MIMAs to be mailed out for producer execution shortly. If you have questions once you receive the agreement, don’t hesitate to get in touch with us for support.

PIOGA producer funds paid for this legal fight. We have preserved the opportunity for you to continue operating seamlessly, helping us to help you by protecting the PIOGA penny option.

Please check the box on your new MIMA that will donate $0.01/mcf to PIOGA.

This allows PIOGA to continue to fight for you, to be the trusted voice for the industry in Pennsylvania and provide timely and affordable advocacy for its members. PIOGA’s member-based
actions on legislative and regulatory issues are swift and decisive. PIOGA’s committees are open and interactive and regularly provide concise information to its members.

Click here for the Press Release (PIOGA Press Release)