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Kansas Gas Service briefs Senate committee on reliability, rates and energy-choice protections

2140478 · January 22, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Patrick Vogelsberg of Kansas Gas Service told the Kansas Senate Utilities Committee about the utility’s footprint, a 2024 rate-case settlement that raised revenues by $35 million, supply procurement practices after Winter Storm Uri, and safety and system-upgrade programs backed by state law and KCC oversight.

Patrick Vogelsberg, manager of government affairs for Kansas Gas Service, told the Kansas Senate Utilities Committee that the company has made system investments and worked with regulators to keep service safe, reliable and affordable.

Vogelsberg told the committee Kansas Gas Service serves about 648,000 customers across roughly 360 communities in Kansas and operates more than 13,000 miles of distribution pipeline. He described the 2024 rate-case process that led to a unanimous settlement and a net $35,000,000 revenue increase, which he said equates to about $4 a month for the average residential customer.

The presentation framed the company’s goals in three terms — “safe, reliable and affordable” — and described several policy and operational tools the utility uses to meet those goals. Vogelsberg said Kansas Gas Service relies on a mix of long-term, seasonal and spot purchases for supply and that storage provides both a physical and financial hedge against winter price spikes.

On winter reliability, Vogelsberg said the company’s gas supply plan helped mitigate the financial impacts of Winter Storm Uri and that Kansas Gas Service and regulators had adjusted plans since then. “We were prepared for Yuri and I think we've made some improvements since then,” he said.

Vogelsberg also described state and federal safety frameworks the company operates under, including enforcement by the Kansas Corporation Commission (KCC) and the Kansas Underground Utility Damage Prevention Act (CUDPA, commonly known as 811). He pointed to the company’s pipeline replacement program and a Gas System Reliability surcharge authorized under the Gas Safety and Reliability Policy Act as mechanisms that improve integrity and reduce emissions from leaks.

On affordability, Vogelsberg noted a large portion of customer bills reflects commodity costs and stressed the company does not profit on the commodity: “we make no money off of the commodity price of natural gas.” He said about half of a typical bill can come from commodity and transportation costs and that producers’ supply increases have helped keep commodity prices lower.

Vogelsberg also referenced the Kansas Energy Choice Act (2021), which he said prevents local bans on natural-gas use in new construction and helps preserve customer choice in appliance and building-fuel decisions. He urged legislators to consider safety, reliability and affordability when weighing energy policy.

The presentation concluded with Vogelsberg offering his contact information for constituent issues and standing for committee questions.