Utility forecasts 40% decrease in gas supply costs for average residential customers
√ Company reminds customers of payment options including budget billing; payment assistance, including HEAP
Submitted by New York State Electric & Gas
New York State Electric & Gas (NYSEG) announced its customers can expect to see a decrease in their winter heating bills this season. NYSEG is projecting a 40% decrease in supply costs for natural gas, which means the average residential customer taking supply service from NYSEG can expect to pay about $120 less for gas supply service from November through March, compared to last year. Based on current electric market prices, the company is forecasting supply cost for electricity to be about the same as last year. NYSEG is forecasting that the average residential customer taking commodity service from the utility can expect to pay about $30 more from the December to March timeframe in electric supply service than last year.
“Part of the reason for the projected decrease in gas supply costs is due to improved reserves in the U.S. and in part by less demand for liquified natural gas in Europe,” said Pat Fox, senior director of energy services for NYSEG. “If we have normal winter weather, we expect to see the cost of natural gas fall off significantly compared to last year.”
NYSEG purchases natural gas and electricity supply on the open market. The utility does not realize any financial benefit from supply charges, which are passthrough costs that represent the actual cost of purchasing the energy (natural gas and electricity) to deliver to customers.
Even with lower supply costs, the company recognizes that customers can be challenged by winter heating bills. The company is reminding customers of payment options, budget billing, energy saving tips and energy efficiency programs. Customers can begin applying for the Home Energy Assistance Program (HEAP),which is scheduled to open Nov. 1.
“We want our customers to know that help is always here for them when they need it,” said Christine Alexander, VP of customer service for NYSEG and RG&E. “We encourage them to take steps to ensure they’re able to get financial assistance that is available to them.”
HEAP is a federal grant program that helps eligible households pay for energy costs and weatherization. Benefits are available through March 15, 2024, or until funds are exhausted, whichever occurs first.
For more information about HEAP, visit mybenefits.ny.gov; or customers can contact their local department of social services.