Experienced consumer reporter, empowering people with information, getting results, always giving back.
Dec 01

Philadelphia Gas Works to Increase Natural Gas Rates

Posted By
Dec 01, 2009 / 10:12
0

The average heating residential customer will pay about $2.92 more per month for
the next three months.  New rate 23 percent lower than this time last year.

(Philadelphia, PA – Dec. 1, 2009) – The Philadelphia Gas Works (PGW) announced that it will increase the price its residential customers pay for natural gas.  The average heating residential customer will pay about $2.92 more per month for the next three months, and with the increase, the new rate is still about 23 percent lower than this time last year.  The cost PGW pays for natural gas is passed on to the customer without markup.

Residential heating customers will pay $1.55 per one hundred cubic feet (Ccf) of natural gas beginning December 1, 2009.  The new cost for gas will change from $1.53 per Ccf to $1.55 per Ccf.  The price for PGW’s commercial, industrial and municipal customers will also increase on December 1, 2009.

“After five consecutive decreases, PGW is increasing what customers will pay for the natural gas they will use by two cents per Ccf,” said Thomas E. Knudsen, President and Chief Executive Officer of PGW.  “We understand that no one likes to pay more, but thanks to our storage and contracting practices we are able to minimize the increase and purchase the most economically priced natural gas we can for our customers.”

The company anticipates that its rates will remain stable through the winter, based on current market conditions, producing savings for all of the company’s customers.  PGW’s residential natural gas rates are made up of two main components: a supply charge and delivery charge:

The supply charge is the part of the bill that reflects the amount of gas used

The delivery charge includes the cost of delivering natural gas to the customer’s meter, distribution system maintenance and customer billing, as well as weather adjustments

The rate will stay in effect until PGW announces the next adjustment, which will go into effect on March 1, 2010.

This year PGW is directly applying LIHEAP Cash grants to Customer Responsibility Program (CRP) customers.  So, in addition to the regular CRP discount, LIHEAP Cash will further reduce the amount CRP customers need to pay.

LIHEAP’s new eligibility requirements are:

Household Size  Maximum Yearly Household Income
1       $16,245
2       $21,855
3       $27,465
4       $33,075
5       $38,685
6       $44,295

Application Periods Have Changed

The period for LIHEAP Cash and Crisis applications will end on March 15.  The application period for LIHEAP Crisis won’t start until January 4, 2010.  However, households without heat may qualify for an exception that will allow them to apply for both Cash and Crisis before January 4.  Customers should apply now to find out it they are eligible.

The program’s grant sizes and schedule has changed:

New Grant Size Program Open Program Close
LIHEAP Cash     Minimum: $100 Maximum: $1,000   November 2      March 15
LIHEAP Crisis   Minimum: $25 Maximum: $400      January 4       March 15

Customers can apply for a LIHEAP Crisis grant at The Philadelphia County Assistance Office’s (PCAO) Sedgley District Office at 1348 W. Sedgley Ave.  After January 4, PCAO will open two additional locations once a week for Crisis applications.

Customers can apply for LIHEAP Cash at any of PGW’s Customer Service Centers.  They need to bring social security numbers and proof of yearly income for everyone living in the home.  More information about the Customer Service Centers and the LIHEAP program is available at www.pgworks.com/LIHEAP and PGW’s LIHEAP hotline, which is 215-684-6100.

Tags: , ,

Do you Want to say something?