Peoples Gas to refund $7.2M to customers for gas line replacement project

CHICAGO (WLS) -- The Illinois Commerce Commission approved a settlement this week directing Peoples Gas to refund more than $7 million to customers.

The money is connected to spending on the Peoples Gas line replacement project, which is funded by customers' dollars.

RELATED: Peoples Gas CEO defends consumer cost of gas line replacement project

Under the settlement, about half of the $7.2 million will go towards "reconnection assistance," helping customers who have had gas shut off for non-payment. The rest will go towards a one-time credit on gas bills.

Customers will see the credit on their bill within 90 days, Peoples Gas said. The utility will contact customers eligible for reconnection assistance directly. All reconnections must be completed within 90 days as dictated by the terms of the settlement.

In March the CEO of Peoples Gas told the Consumer Investigator Jason Knowles that the money was not being wasted and the gas line replacement project is about safety. Some pipes being replaced are more than 100 years old.