The Missouri Public Service Commission regulates investor-owned electric, steam, natural gas, water and sewer and telephone companies. Its mission is to ensure Missouri consumers have access to safe, reliable and reasonably priced utility service while allowing those utility companies under our jurisdiction an opportunity to earn a reasonable return on their investment. The PSC also regulates manufacturers and retail dealers who sell new and used manufactured homes and modular units. The commission was established in 1913. The PSC is comprised of five commissioners, who are appointed by the governor.
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PR-08-54 -- PSC Approves Agreement In Staff Complaint Against Missouri Gas Energy
Contact: Kevin Kelly (573) 751-9300
FOR IMMEDIATE RELEASE -- OCTOBER 12, 2007
JEFFERSON CITY—Missouri Gas Energy (MGE) will pay $2,000 to the public school fund and will implement new procedures under an agreement approved by the Public Service Commission.
The agreement resolves issues in a complaint case brought against MGE by the PSC staff. The complaint, filed on July 24, 2007, alleged MGE violated commission rules in connection with a natural gas explosion and fire in Blue Springs in January. The explosion and flash fire occurred in a vacant single family residence at 1706 SW Smith Street on January 8, 2007. The structure sustained minor damage; no injuries were reported.
The PSC staff stated in its report that it believed the explosion and fire occurred when a contractor working for MGE inadvertently introduced natural gas into an abandoned natural gas line. MGE is responsible for ensuring work performed by its contractors complies with PSC regulations.
According to the PSC staff report, when natural gas went into the abandoned line, it migrated into the basement of the residence at 1706 SW Smith Street where it ignited. The PSC staff report states that prior to the explosion, a contractor was working to replace natural gas lines at the intersection of 18th and Walnut Streets.
Under the agreement approved by the commission, MGE will implement additional training procedures regarding the location of abandoned lines for employees with line location responsibilities, contractors, contractor inspectors and company first-responders.
MGE will also implement a procedure requiring use of a gauge to insure contractors and MGE personnel connect to the correct gas line. An MGE employee will also visit the site of critical pipeline procedures before or during these procedures.
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Case No. GC-2008-0026