Philadelphia Gas Works Announces Natural Gas Cost Decrease This Quarter
Posted on: Jun 01, 2017(Philadelphia, Pa. – June 1, 2017) – Philadelphia Gas Works (PGW) today announced that this quarter’s gas cost rate will decrease for residential, commercial, industrial and municipal customers. For the next three months, the rate for typical residential customers, for instance, will be lowered to $1.271 per hundred cubic feet (Ccf) from $1.309 per Ccf. The new rate reflects what PGW pays for the gas.
On an annualized basis, the average residential customer using 740 Ccf of natural gas, will now pay $28.40 less per year, however this rate is readjusted quarterly.
PGW reviews its gas cost rate quarterly and determines, based on market conditions, whether it should change. The new rate, beginning June 1, 2017, will stay in effect through August, 31, 2017.
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 cost and amount of gas used by the customer. This charge is what PGW pays for the gas and is passed on to the customer without markup.
- The delivery charge reflects the cost of delivering natural gas to the customer’s residence, distribution system maintenance and customer billing costs, and the amount of gas used by the customer as well as weather adjustments.
For ways to save, visit pgworks.com to learn great ways to conserve energy and save money on heating bills.
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