The Houston City Council voted on Wednesday to reject a gas utility rate increase proposed by CenterPoint Energy last year.
CenterPoint has asked to raise an additional $31 million come from around 1.3 million customers in Houston and the Gulf region. The rate increase would boost the average Houston customer’s monthly gas bill by $2.76, or more than 16 percent, according to the city.
Mayor Sylvester Turner, when addressing the city council on Wednesday morning, said the increase was too much and the city could not approve it.
The city expects CenterPoint to appeal its vote, a move that will bring the case before the Railroad Commission of Texas, which oversees gas utility rate cases in addition to regulating the state’s oil and gas industry.