Thursday, July 10, 2008
(Last modified: 2009-05-13 09:48:11)
 
Author: David Popiel
Source: The Newport Plain Talk

A popular rebate program to help consumers purchase gas appliances has been extended from a spring special to a year-around offering.

During a meeting of Jefferson-Cocke County Utility District commissioners on Monday, the new marketing plan became effective. Hundreds of dollars in rebates per customer will be made available throughout the year, said General Manager Tommy Bible.

The commission also faced filling the vacant position of board president, Bobby Wilson, who died in June after battling cancer. It was the consensus of the board to allow his son, Rob Wilson, to fill the unexpired term.

The late President Wilson would have served until April 2009. Rob Wilson, who works for Blanc & West Lumber Company in Jefferson City, will serve on the five-man board.

The commissioners also elected Gary Hammonds as board president. Harry Chambers becomes vice-president, and Robert Overholt is secretary.

The new marketing plan was a prelude to the Capital Spending Program 2008-2012 presented to the board for review on Monday. The program examines possible future gas pipeline expansion areas.

Bible said he was pleased that customers would now be able to buy two or more year-around gas using appliances, and, if the residents live in front of a natural gas line, the $100 service fee would be waived.

The marketing plan will also look at where there are existing pipelines to be sure those not being served as residents and businesses could be in the future, with proper incentives.

While there was good news for consumers, the utility didn't see much relief on the price paid for gas and propane. Even though the future price of natural gas fell 60 cents per thousand cubic feet (mcf), it is still in record territory.

The national price for gas has been about $13 per mcf. This compares to about $7 to $7.50 mcf last summer. "It has gone straight up the last four months," said Bible.

"We think speculation is a bigger factor in pricing," he said. Bible noted that several years ago, when prices began rising rapidly despite adequate supplies, there was 30 times more trading volume of gas than could physically be transported on all the pipelines in the US.

Also, liquid natural gas (LNG) facilities are being expanded in the US for imported LNG. However, the volumes predicted to be shipped here never arrived because European nations are paying $16 to $18 per mcf.

The board also approved the bidding process for the planned drive-through at the Jefferson City Office. Architect Dollar & Ewers presented final plans so advertising for bids can begin. The board is expected to accept a bid for construction during the August meeting.

However, the board will meet again on Tuesday, July 29, at 9 a.m.

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