Tina Smith Asks Federal Agencies To Deal With Utility Prices

ACROSS MINNESOTA —Minnesota Sen. Tina Smith announced over the weekend she had penned a letter to the heads of multiple federal agencies calling for an investigation into the price gouging that has occurred in the natural gas market in the wake of the recent southern storms, notably in Texas.

Smith noted that skyrocketing natural gas prices, in some cases as high as 100 times typical rates, are putting a significant strain on utilities that have to buy the power. The costs, Smith said, likely will be passed along to consumers in the form of higher gas bills.

"We do know this situation could be a significant financial burden for utilities and their customers, especially as many Minnesota families are already struggling to get by in the current health and economic crisis," Smith wrote in her letter to David G. Huizenga, the acting secretary of the U.S. Department of Energy , Richard Glick, chair of the Federal Energy Regulatory Commission and Rostin Benham, acting chair of the Commodities Futures Trading Commission.

In addition to an investigation into price gouging in the natural gas market, Smith called for a detailed report produced about what occurred and how it can be prevented in the future.

Smith also said she would like to see the government invoke any emergency authorities, including those under the Natural Gas Policy Act, in order to allocate natural gas supplies at fair prices.

Finally, the senator asked for an examination of possible financial support for utilities and their customers that might be facing a cash crunch or rate increases due to the spike in gas prices.

In a recorded address on her Twitter feed Tuesday, Smith further addressed the issue of energy prices.

"We all have watched in horror the events in Texas and the southern states, as people have lost power, water and struggled in the cold. People have literally lost their lives," Smith said. "In the midst of that, we face another crisis. While this has been happening, prices for natural gas have spiked through the roof and some producers are having an incredible payday."