RICHMOND — The State Corporation Commission (SCC) will hold a public hearing on October 25, 2011, on a request by Virginia Natural Gas, Inc. (VNG) for an increase in its base rates.

VNG seeks an increase to the company's annual base rate revenue of $28.4 million to recover costs for the construction of the Hampton Roads Crossing Pipeline as well as operational cost increases. If approved, VNG projects that the monthly bill of a typical residential customer would increase on August 1, 2011, by $6.27, or 9.6 percent.

As an alternative, VNG proposes a mitigation plan that includes a three-year phase-in of rates. According to VNG, in the first year, a typical residential customer would see an increase of $3.11 per month. In the second year, the monthly increase would be $1.48. In the third year, the monthly increase would be $1.42.

A public hearing on the request is scheduled for 10 a.m. on Tuesday, October 25, 2011. It will be held in the Commission's second floor courtroom located in the Tyler Building, 1300 East Main Street, in downtown Richmond. Any person wishing to comment at the hearing should arrive early and notify the SCC bailiff.

Written comments on the proposals must be submitted by October 18, 2011. All correspondence should be sent to the Clerk of the State Corporation Commission, Document Control Center, P.O. Box 2118, Richmond, Virginia 23218-2118, and refer to case number PUE-2010-00142.

Interested persons desiring to submit comments electronically may do so at the SCC's website: www.scc.virginia.gov/case. Click on the PUBLIC COMMENTS/NOTICES link and then the SUBMIT COMMENTS button for case number PUE-2010-00142.

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Case Number PUE-2010-00142