UGI Utilities Announces 7.1% Rate Increase for Residential Heating Customers Due to Rising Natural Gas Costs

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 elevate the average monthly bill from $104.37 to $111.73, a change attributed to the increased costs of natural gas supplies, exacerbated by colder temperatures and heightened demand during winter months.

The utility company is required by law to pass these gas purchase expenses directly to customers without any markup, ensuring a transparent pricing mechanism. This practice, while ensuring fairness, places the burden of fluctuating natural gas prices directly on the consumer.

In response to the potential financial strain on customers, UGI Utilities is highlighting several support options. Pennsylvania residents are encouraged to explore competitive energy rates through PAGasSwitch, and those with limited incomes may be eligible for assistance through programs like the federally funded Low-Income Home Energy Assistance Program (LIHEAP).

Additionally, UGI advises customers to adopt energy efficiency measures to counteract the rising costs. The company offers a variety of resources and tips on energy-saving techniques, aimed at helping consumers reduce their overall energy consumption and manage their bills more effectively.

With a service area covering more than 760,000 natural gas and electric customers across 46 Pennsylvania counties, UGI Utilities remains committed to supporting its customers through the challenges of seasonal pricing fluctuations, emphasizing the importance of energy efficiency and financial assistance programs in mitigating the impact of rate increases.