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Gas Prices Set To Skyrocket More Than 50% In These States

The agency overseeing public utilities in the state of Pennsylvania has warned that many energy suppliers will raise their prices on Dec. 1.

In a comment, the Pennsylvania Public Utility Commission said there will be “potentially large winter energy price spikes” in many places:

“Most Pennsylvania electric utilities are changing the price they charge for the generation part of bills on Dec. 1 for non-shopping customers, also called the “Price to Compare” (PTC). The PTC hovers around 40% to 60% of a person’s overall utility bill. However, this percent varies by the utility and by the amount of individual customer usage.”

“The PUC says that the Commission does not restrict prices for the generation part of electric bills. For those customers that don’t shop, electric utilities get default generation service with a procurement process managed by the PUC — the electric utility in effect “shops” on behalf of the customer. Generation prices are not with the closely regulated prices that utilities charge for their distribution.”

“The upcoming price changes, combined with the decreasing temperatures, make this an important time for businesses and consumers to evaluate their energy options and find ways to save money in the coming months,” said Pennsylvania Public Utility Commission chairwoman Gladys Brown Dutrieuille in the comment. “We encourage American consumers to carefully look at their electric bills, understand that energy prices they will pay if they stay with the default service, and then explore the PUC’s electric shopping website… for details about competitive offers, along with some tips on energy savings.”

Price increases ahead of winter months extend beyond the state of Pennsylvania. Indeed, an Oct. report from the U.S. Energy Information Administration forecasted the greatest nationwide increase in winter prices since 2008.

The WSJ reported:

“Almost half of United States homes that use natural gas can expect to now spend an average of 30% more on energy compared to last year. The agency also said that energy bills would be 50% greater if the winter is 10% colder on average and 22% greater if the winter is around 10% warmer on average.”

Author: Blake Ambrose


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