UGI Central Penn Gas Projects Modest Increase in Gas Costs on December 1, 2016
17 May 2016
READING, PA, May 17, 2016 – In an annual filing with the Pennsylvania Public Utility Commission (PUC), UGI Central Penn Gas (UGI) announced its purchased gas cost rates will not change on June 1, 2016, but are projected to increase slightly on December 1, 2016.
UGI projects its December 1 purchased gas cost rate to increase 1.6 percent for residential heating customers from current rates. Commercial customers are projected to see a 2.3 percent increase, while commercial and industrial retail customers are projected to see a 2.7 percent increase.
“Nearly 90 percent of UGI’s natural gas supplies now come from locally produced Marcellus Shale. Even with this projected increase, our customers are benefitting from this plentiful, reliable supply,” Paul Szykman, vice president of rates at UGI, said. “Over the past eight years, UGI customers have seen a decrease of more than 40 percent in their bills due to declining gas costs.”
UGI is required to file its purchased gas cost rates each year in June for review with the PUC. The Company may adjust these rates quarterly to reflect changes in wholesale natural gas prices. By law, utilities cannot earn a profit on the natural gas commodity portion of a customer’s bill. Utilities are required to pass the cost of the natural gas they purchase directly through to customers without any markup.
Beginning December 1, the bill for a typical residential heating customer who uses about 68.4 hundred cubic feet (ccf) of natural gas per month will increase from $80.03 to $81.29.
The bill for a typical commercial retail customer using 23.7 thousand cubic feet (Mcf) per month will increase from $184.15 per month to $188.44 on December 1.
The bill for a typical industrial retail customer using 154.6 Mcf per month will increase from $1,025.31 per month to $1,053.23 on December 1.
Customers may call UGI at 1-800-652-0550 to receive further information on the proposed rates or to find out what actions they may take. UGI encourages customers to use energy wisely and make efficiency improvements in their homes. All customers are encouraged to sign up for UGI’s free budget billing program, which spreads bills out over a 12-month period. Customers with a limited or fixed income should call UGI at 1-800-UGI-WARM to determine if they are eligible for one of several energy assistance programs. Finally, any customer who is behind on their gas bills should contact the utility as soon as possible to discuss a payment arrangement.
UGI Central Penn Gas serves approximately 85,000 customers in 35 counties in eastern and central Pennsylvania, including customers in and around Bedford, Clearfield, Coudersport, Hamburg, Huntington, Lewistown, Lock Haven, Fryburg, Lehighton, Oxford, Pittston, Pottsville, Port Allegany, Shamokin, Shippensburg, Stroudsburg, Troy, Waynesboro and Wellsboro. Additional information about UGI Central Penn Gas is available at www.ugi.com.