• 36°
franklin county times

Hardwick talks gas consumption, profit margins, MVG structure

By By Ben Alexander/The Meridian Star
Feb. 26, 2001
Dozens of power generating plants either planned or built in Mississippi over the last several years will influence the price paid by consumers of natural gas, according to a Mississippi Valley Gas executive.
Phil Hardwick, vice president of Community and Economic Development, says he believes some of the plants  usually fueled by natural gas are vastly increasing demand for natural gas and therefore driving prices up for customers.
Although not all these new plants make use of natural gas as their fuel source, Hardwick says more and more companies are turning to natural gas because it's cheap, efficient and environmentally clean.
According to Hardwick, most new plants being built in Mississippi are not generating power for Mississippians, but rather selling the electricity for profit in the national open, deregulated markets.
Hardwick said many of these new plants were locating in Mississippi because of the proximity to electricity transmission lines, an abundance of water and to interstate natural gas pipelines. Mississippi's rural nature provides many of the plants the resources they need to operate. The state has more natural gas pipelines running under it than any other state.
Unfortunately, according to Hardwick, utility customers are often the ones to suffer from the impact of the increased demand caused by the new plants because they create a revolving effect of high prices for both gas and electrical companies.
One alternative might be the development of a new national energy policy, Hardwick said, which encourages and promotes other energy sources, such as clean-burning coal or nuclear.
Contrary to popular opinion Hardwick says Mississippi Valley Gas isn't getting rich off the higher prices of gas because the company's profits are strictly regulated by the Mississippi Public Service Commission.
More demand, colder weather and lower supplies of natural gas have been to blame for the rise in natural gas prices on the open market, according to the executive. Hardwick says those higher prices on the market are absorbed by his company and passed along with no additional charges but their own cost of delivering the gas to homes.
If MVG was making huge profits off natural gas prices Hardwick said customers would be surprised where much of the money would be going.
The utility is a privately-owned company whose two stockholders are the Robert M. Hearin Support Foundation and a deceased man's estate.
Hardwick said half of company profits flow through the support foundation into Mississippi's institutions of higher learning.
Ben Alexander is a staff writer for The Meridian Star. E-mail him at balexander@themeridianstar.com.

Franklin County

PROGRESS 2024: Veteran Spotlight – Mousey Brown

News

Russellville First Baptist Church receives historical marker

Franklin County

PROGRESS 2024: Meeting a higher standard – Russellville High School JROTC

News

RCS BOE announces new superintendent  

News

Miss Dream Girl Pageant names winners

Franklin County

First Metro Bank hosts FAME Girls’ Ranch donation drive

News

PCHS holds annual Shelby Grissom Memorial Fashion Show

Franklin County

PROGRESS 2024: VFW Post 5184 – ‘No One Does More For Veterans’

Features

Supporting students’ futures

Features

Red Bay Garden Club discusses amaryllis planting

Franklin County

UA announces local students for fall 2023 President’s, Dean’s, graduation lists

News

School news

Franklin County

PROGRESS 2024: Veteran Spotlight – Troy Oliver

Franklin County

Appropriations bill passes, allots more than $3 million for new Russellville library/multipurpose center 

Franklin County

Franklin County Cattlemen’s Association names Cattleman of the Year 

Franklin County

Franklin County votes: Unofficial March 5 primary election results 

Franklin County

Funding for new Russellville library, multipurpose community center expected this week

Features

Faces of Franklin County: BTCPA

News

GFWC Russellville Book Lovers Club sponsors downtown art crawl

Franklin County

PROGRESS 2024: Veteran Spotlight – Cody Bragwell

Franklin County

42nd annual Miss RHS pageant names winners 

News

Miss RHS pageant takes place Friday

Franklin County

Political announcement: David Hester speaks about run for reelection as county commissioner

Franklin County

BTCPA auditions for final production of season take place March 3-4 

x