By Alabama Public Radio
Alabama – The two-point-one percent rate hike took effect Friday. It comes after Alabama Gas rates rose nearly 37 percent in October 2005 before being lowered four-point-two percent in February and another four percent in April. The state Public Service Commission said the latest increase will boost the annual gas costs from eleven-hundred-76 dollars to twelve-hundred-one dollars for the average residential customer. Amy W. Stewart, Alagasco's vice president for rates and regulations, said the rate increase is due to higher expenses for gas pipelines, employees' medical insurance and other items. Alagasco is the largest natural gas utility in Alabama, with about 460-thousand customers in central and north Alabama.