South-Central gas prices up despite drop in consumption

Part two of a series on the regional effects of the recession covers energy prices and supplies in the South-Central states, where natural gas continues to increase in price from 14 to 40% a year because of increased production costs and deregulation. Gas consumption has declined because of the recession and user conservation. Gas is no longer competitive in some areas of the region, but still competes on the Gulf Coast. There is also a sharp increase in electricity costs. Customers and utilities cite some of the current problems, many of which are related to the higher costs allowed for new gas. (DCK)