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COLUMBIA, S.C. (AP) -- South Carolina Electric & Gas Co. has agreed to reduce the size of a rate increase.

The State newspaper reported the company has agreed to seek an increase of just over 4 percent. That's down from a request of about 6.5 percent the company initially requested in June.

The Public Service Commission still must approve the increase, which would generate another $97 million for the Cayce-based utility. The original request had been for an increase of $152 million. The PSC begins work on the request Monday.

SCE&G had been negotiating with several groups opposing the increase, saying it was excessive.

The deal would save the average customer about $50 a year.

The increase might be even less because of lower natural gas costs for the company.

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