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UGI Penn Natural Gas to Increase Natural Gas Rates

21 May 2013

Natural Gas Continues to Deliver Significant Energy Value

Editor’s Note: An update to the proposed December rate has been made as of June 5, 2013. UGI’s increase of the purchased gas cost rates that went into effect on June 1, 2013 remains unchanged. However, UGI PNG’s request with the Pennsylvania Public Utility Commission (PUC) to establish your purchased gas cost rates as of December 1, 2013 from the purchased gas cost rates that will be in effect on June 1, 2013 would result in an additional increase for the typical residential heating, commercial and industrial retail customer bill of 4.0%, 5.6% and 6.5% respectively. Assuming full implementation of UGI PNG’s proposed June and December purchased gas cost adjustments, the average monthly bill for UGI PNG customers will remain more than 25% lower than it was five years ago. The updated proposed December 1, 2013 rates would result in a bill for a typical residential retail heating customer using 89 ccf per month of $100.58 per month. The bill for a typical commercial retail customer using 26.2 Mcf per month would be $245.99 per month. The bill for a typical industrial retail customer using 405 Mcf per month would be $3,334.46 per month.

 

Reading, PA (May 17, 2013) – UGI Penn Natural Gas (UGI PNG) announced that purchased gas cost rates will increase on June 1, 2013 for residential, commercial and industrial customers.  The increase is due to such factors as the expanding U.S. demand for natural gas caused by the return to normal winter temperatures in 2012-2013, and firming prices due to the improving U.S. economy. UGI PNG will notify the Pennsylvania Public Utility Commission (PUC) of this rate change through a purchased gas cost filing.

UGI PNG is also filing its annual request with the PUC to establish purchased gas cost rates as of December 1, 2013. If UGI PNG’s requests are approved, the average residential heating customer’s bill will increase by approximately 4.2% on June 1 and 2.6% December 1.

Even with full implementation of UGI PNG’s June and proposed December purchased gas cost adjustments, the average monthly bill for UGI PNG customers will remain more than 37% lower than it was five years ago.

“UGI customers have enjoyed the benefits associated with lower cost natural gas supplies over the last five years,” said Vicki O. Ebner, Senior Vice President, UGI Utilities, Inc. “The availability of increasing volumes of reasonably priced, locally produced supply from the Marcellus Shale range has allowed costs to remain well below their 2008 levels, despite upward price pressure on natural gas. Natural gas remains one of the most competitively priced energy options available to consumers.”

With full implementation of UGI PNG’s June and proposed December purchased gas cost adjustments, the bill for a typical residential retail heating customer who uses about 89 hundred cubic feet (ccf) of natural gas per month will increase from $92.75 per month to $96.67 on June 1 and to $99.17 on Dec. 1.  The bill for a typical commercial retail customer using 26.2 thousand cubic feet (Mcf) per month will increase from $221.59 per month to $232.88 on June 1 and to $241.69 per month on Dec. 1.  The bill for a typical industrial retail customer using 405 thousand cubic feet (Mcf) per month will increase from $2,957.28 per month to $3,131.88 on June 1 to $3,267.98 per month on Dec. 1.

Customers may call UGI PNG at 1-800-276-2722 to receive further information on the proposed rates.  Any customer who is experiencing difficulty paying their gas bills should contact UGI PNG to determine if they are eligible for one of several energy assistance programs.  They can also discuss a payment arrangement for any past due balances.

UGI Penn Natural Gas is a wholly owned subsidiary of UGI Utilities, Inc.  UGI Penn Natural Gas serves approximately 160,000 customers in 13 counties throughout northeastern and central Pennsylvania, including customers in and around Scranton, Wilkes-Barre and Williamsport. Additional information about UGI’s Penn Natural Gas is available at www.ugi.com.

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