Southern California Gas forecast a rate increase.

The Los Angeles-based subsidiary of Pacific Lighting said that average rates should rise by 6.75% a year, assuming a 5.65% inflation rate, through 2000. SoCal Gas said its gas acquisition costs fell 8% this year and are expected to decline through next year due to an oversupply of natural gas. Residential customers will use 30% less gas by 2000, but the Southern California market will grow by 17.5% due to new customers and increased gas use in oil recovery and electrical co-generation, according to the utility.