UGI Utilities, Inc. announced today that its purchased gas cost rate will increase effective December 1, 2025, leading to a 0.9% rise in the average residential heating customer's total bill. The adjustment, driven by higher natural gas supply costs, will raise the typical monthly bill from $118.43 to $119.49, according to the company's press release.
The increase is smaller than initially anticipated, as UGI noted in its announcement. The purchased gas cost rate is a pass-through charge that reflects the actual cost UGI pays for natural gas in the wholesale market, without markup. This mechanism ensures that customers pay the true cost of gas, but it also exposes them to market volatility. The company stated that the rate adjustment is necessary to align with current market conditions.
UGI Utilities serves more than 760,000 customers across Pennsylvania and operates as both a natural gas and electric utility. The company emphasized that the 0.9% increase is moderate compared to broader energy price trends. For more details, customers can visit the full announcement at the company's website.
The announcement comes amid fluctuating natural gas prices, which have been influenced by supply constraints and seasonal demand. UGI's filing with state regulators reflects the company's commitment to transparent pricing. Customers seeking additional information can follow UGI on Facebook or X.
This rate change affects only the supply portion of the bill; delivery charges and other fees remain unchanged. UGI encourages customers to explore energy efficiency programs and payment assistance options to manage their bills. The company's customer service team is available to answer questions about the adjustment.
