Atlanta Gas Light awards funding for five new CNG fueling stations
Georgia Public Service Commission-approved program will add new natural gas vehicle fueling stations funded from AGL’s Universal Service Fund.
ATLANTA - September 27, 2012 – Atlanta Gas Light Company announced today that it has executed service agreements with the City of Atlanta and three commercial operators to open five new compressed natural gas (CNG) fueling stations throughout Georgia.
“Our team has worked diligently since the initial proposals were received to turn those proposals into viable commercial agreements, and we are pleased that five new CNG stations will be opening soon as a result,” said Bryan Batson, President of Atlanta Gas Light. “The CNG station program is one of three economic development programs approved by the Public Service Commission over the past three years that will benefit Georgians and help increase CNG investment in the state.”
The five proposed CNG fueling stations will be located in Downtown Atlanta, Forest Park, Savannah and Valdosta. Three of the five stations will offer public access. The list of the proposed locations and station owners is provided below:
- 1120 North Avenue (City of Atlanta)
- 128 Claire Drive (City of Atlanta)
- 323 Cash Memorial Blvd., Forest Park (Premier Transportation)
- 401 O'Leary Road (Colonial Group, Inc., through its Enmark subsidiary)
- 1628 James P. Rogers Drive (The Langdale Company)
The initial five stations awarded under the AGL CNG Program will result in a $6.5 million investment from Atlanta Gas Light’s Universal Service Fund (USF) to install compression and storage equipment owned by Atlanta Gas Light at the fueling stations. Over the remaining four years of the program, Atlanta Gas Light will be able to negotiate additional service agreements with other station owners to invest an additional $5 million in funds authorized by the Public Service Commission.
In November 2011, the Public Service Commission approved a plan submitted by Atlanta Gas Light to invest $11.57 million from the company's USF to install natural gas compression and storage equipment at newly proposed CNG fueling stations. Atlanta Gas Light will provide service to the station owners under a new rate approved by the Public Service Commission. The initiative is the first state-sponsored investment program in the Southeast that allows the utility to add infrastructure to its market without rate impacts on current customers. All site development costs as well as any costs to maintain and operate the equipment will be paid by the station owners and their respective CNG customers.
In addition to this effort, Atlanta Gas Light recently launched a program aimed at helping individual consumers and small businesses conveniently fuel their CNG vehicles from their own premises. Authorized by the Public Service Commission, the program provides low cost leases of home refueling appliances, known as HRAs, which allow commuters to refill their CNG cars at their own premise overnight. Monthly lease payments will typically be $60, with a minimum five-year commitment for a standard unit, including scheduled maintenance and installation.
For more information about the CNG infrastructure and home fueling programs, visit www.atlantagaslight.com/cngplan.
About Atlanta Gas Light
Atlanta Gas Light, a wholly owned subsidiary of AGL Resources (NYSE: GAS), provides natural gas delivery service to approximately 1.6 million customers in Georgia. In operation since 1856, the company is one of the oldest corporations in the state. For more information, visit www.atlantagaslight.com.
About AGL Resources
AGL Resources (NYSE: GAS) is an Atlanta-based energy services holding company with operations in natural gas distribution, retail operations, wholesale services, midstream operations and cargo shipping. As the nation’s largest natural gas-only distributor based on customer count, AGL Resources serves approximately 4.5 million utility customers through its regulated distribution subsidiaries in seven states. The company also serves more than one million retail customers through its SouthStar Energy Services joint venture and Nicor National, which market natural gas and related home services. Other non-utility businesses include asset management for natural gas wholesale customers through Sequent Energy Management, ownership and operation of natural gas storage facilities, and ownership of Tropical Shipping, one of the largest containerized cargo carriers serving the Bahamas and Caribbean region. AGL Resources is a member of the S&P 500 Index. For more information, visit www.aglresources.com.
Certain expectations and projections regarding our future performance referenced in this press release are forward-looking statements. Forward-looking statements involve matters that are not historical facts, such as statements regarding our future operations, prospects, strategies, financial condition, economic performance (including growth and earnings), industry conditions and demand for our products and services. Because these statements involve anticipated events or conditions, forward-looking statements often include words such as "anticipate," "assume," "believe," "can," "could," "estimate," "expect," "forecast," "future," "goal," "indicate," "intend," "may," "outlook," "plan," "potential," "predict," "project," "seek," "should," "target," "would," or similar expressions. Forward-looking statements contained in this press release include, without limitation, statements regarding the expected number of CNG stations that will be opening and when these stations will be in operation, our ability to enter into service contracts with certain station owners over the remaining four years of the program, the benefits of the CNG program to Georgians, the increase in CNG investment in Georgia and our ability to offer low cost leases of home refueling appliances on the terms indicated. Our expectations are not guarantees and are based on currently available competitive, financial and economic data along with our operating plans. While we believe our expectations are reasonable in view of the currently available information, our expectations are subject to future events, risks and uncertainties, and there are several factors - many beyond our control - that could cause results to differ significantly from our expectations.
Such events, risks and uncertainties include, but are not limited to, changes in price, supply and demand for natural gas and related products; the impact of changes in state and federal legislation and regulation including any changes related to climate change; actions taken by government agencies on rates and other matters; concentration of credit risk; utility and energy industry consolidation; the impact on cost and timeliness of construction projects by government and other approvals, development project delays, adequacy of supply of diversified vendors, unexpected change in project costs, including the cost of funds to finance these projects; limits on natural gas pipeline capacity; the impact of acquisitions and divestitures; our ability to integrate successfully operations that we have or may acquire or develop in the future, including those of Nicor Inc., and realize cost savings and any other synergies related to any such integration, or the risk that any such integration could be more difficult, time-consuming or costly than expected; uncertainty of our expected financial performance following the recent completion of the Nicor merger; disruption from the recent Nicor merger making it more difficult to maintain relationships with customers, employees or suppliers; direct or indirect effects on our business, financial condition or liquidity resulting from any change in our credit ratings resulting from the recent merger with Nicor or otherwise or any change in the credit ratings of our counterparties or competitors; interest rate fluctuations; financial market conditions, including disruptions in the capital markets and lending environment and the current economic uncertainty; general economic conditions; uncertainties about environmental issues and the related impact of such issues; the impact of changes in weather, including climate change, on the temperature-sensitive portions of our business; the impact of natural disasters such as hurricanes on the supply and price of natural gas; acts of war or terrorism; the outcome of litigation; and other factors which are provided in detail in our filings with the Securities and Exchange Commission, which we incorporate by reference in this press release. Forward-looking statements are only as of the date they are made, and we do not undertake to update these statements to reflect subsequent changes.
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Kristie Swink Benson