Missouri natural gas customers will get $30.3M in refunds
Kansas City Business Journal
Missouri natural gas customers will get $30.3 million in refunds of a Kansas tax they probably don't remember paying back in the mid-1980s, the Missouri Public Service Commission said Tuesday.
The refunds will come from gas companies that unlawfully collected the tax from 1983 to 1988.
Natural gas producers unlawfully collected the Kansas property tax between 1983 and 1988 because the Federal Energy Regulatory Commission allowed them to, the Missouri PSC said in a written statement. Customers of two pipeline companies -- Southern Star Central Gas Pipeline Inc. of Owensboro, Ky., and Panhandle Eastern Pipe Line Co. of Houston -- paid the taxes to gas producers and passed them on to successive customers.
The long-running case began more than 20 years ago, when Colorado Interstate Gas filed an objection to the Kansas tax charges with FERC.
In 1994 and 1995, Missouri consumers received $13 million in refunds for taxes collected from 1988 to 1993.
In 1996-97, federal courts ruled that more refunds were due for overcharges from 1983 to 1988. In 1998-2001, customers received $8.8 million.
As gas producers send checks to local utilities such as Missouri Gas Energy in March, credits will appear on customers' bills in the following months, the commission said.
MGE customers will receive the largest share of the refunds, roughly $24 million, commission spokesman Kevin Kelly said.
Gas producers that are writing checks to the utilities include BP America Production Co., formerly Amoco Production Co.; Oxy USA Inc.; Anadarko E&P Co. LP, formerly Anadarko Petroleum Corp. and Union Pacific Resources Co.; ExxonMobil Oil Corp.; and Duke Energy Services Inc.
Latest News |
Most Viewed Stories |
Most Emailed Stories |
