UGI Utilities, Inc. has announced a significant increase in purchased gas cost rates, leading to a 7.1% rise for residential heating customers effective March 1, 2025. This adjustment will see the average monthly bill increase from $104.37 to $111.73, a change attributed to the heightened costs of natural gas supplies, exacerbated by colder temperatures. The necessity for this price adjustment is rooted in the increased demand for natural gas during the winter months, a period when consumption peaks.
Under regulatory requirements, utilities like UGI are obligated to pass the costs of gas purchases directly to consumers without any markup, ensuring a transparent and fair pricing structure. This mechanism is designed to protect consumers from unjustified price hikes while allowing utilities to cover their operational costs. In light of these changes, UGI is proactively offering support to help customers navigate the financial implications of the rate increase.
For those seeking alternatives, Pennsylvania residents have the option to explore competitive energy rates through PAGasSwitch, a platform that facilitates comparison shopping for energy services. Additionally, customers facing financial hardships may be eligible for assistance through programs like the federally funded Low-Income Home Energy Assistance Program (LIHEAP), which provides grants to help cover heating costs.
UGI also emphasizes the importance of energy efficiency as a strategy to counteract rising costs. The company offers a wealth of resources and practical advice on energy-saving techniques, aimed at helping customers reduce their overall energy consumption. Serving a vast network of over 760,000 natural gas and electric customers across 46 Pennsylvania counties, UGI remains committed to supporting its customer base through the challenges posed by seasonal pricing fluctuations.
