JEFFERSON CITY — To reflect estimated changes in the wholesale cost of natural gas as well as a change in the company’s Actual Cost Adjustment (ACA) factor, natural gas customers of Union Electric Company (Ameren Missouri) will see natural gas rates change under a filing that took effect on Nov. 1.

The ACA factor is a mechanism which tracks any over-collection or under-collection of actual natural gas costs over a 12 month period.  The net over- or under-collected balances are subsequently either refunded or collected the next year.

Residential customers currently pay approximately 47 cents per hundred cubic feet (Ccf o)f natural gas. Under this filing, the rate will decrease to approximately 40 cents per Ccf, a decrease of approximately 7 cents per Ccf. This change will affect Ameren Missouri natural gas customers in Columbia, Rolla, Salem, Owensville, Jefferson City, Mexico, Wentzville, Cape Girardeau and Marble Hill. 

Approximately 50 to 55 percent of a customer’s current natural gas bill reflects the cost of natural gas from wholesale suppliers, according to the Missouri Public Service Commission. The wholesale cost of natural gas — the cost your local natural gas company must pay to its suppliers for natural gas — is not regulated by the Missouri Public Service Commission.

The wellhead cost of natural gas is unregulated and is primarily driven by supply, demand and the weather.  The Missouri Public Service Commission does conduct an annual regulatory review to ensure that regulated natural gas companies make prudent decisions in securing natural gas supplies for their customers.

Ameren Missouri serves approximately 131,500 natural gas customers in Missouri including residents who chose this service in Owensville. This report is based on the PSC case listed as No. GR-2020-0108.