UGI Utilities, Inc. announced today that its purchased gas cost rates will remain unchanged on June 1, 2026. The company, which serves more than 760,000 natural gas and electric customers across 46 counties in Pennsylvania and one county in Maryland, cited stable market conditions for the near-term rate freeze. However, UGI projected that supply rates are expected to increase in December 2026, potentially affecting customers' winter heating bills.
According to the announcement, the purchased gas cost rates, which reflect the wholesale cost of natural gas, are adjusted periodically to align with market prices. For the upcoming June adjustment, UGI determined that current market conditions do not warrant a change. The company monitors natural gas prices and adjusts rates accordingly, with any changes passed directly to customers without markup. This practice ensures that customers pay the actual cost of the gas they use, as required by Pennsylvania utility regulations.
The projected December increase is based on forward market forecasts and anticipated seasonal demand. Natural gas prices typically rise in the winter due to increased heating demand, and UGI's rate adjustment mechanism allows the company to recover the higher costs. The exact percentage of the increase has not been disclosed, but UGI encourages customers to prepare for higher bills later in the year. The company offers various assistance programs and budget billing options to help customers manage their energy costs.
UGI Utilities is a subsidiary of UGI Corporation and has a long history of providing reliable natural gas and electric service. The company is headquartered in Denver, Pennsylvania. More information about UGI and its services can be found at www.ugi.com. Customers can also follow UGI on Facebook at www.facebook.com/ugiutilities and on X at www.twitter.com/ugi_utilities.
The announcement underscores the importance of monitoring energy costs and planning ahead, especially for households on fixed incomes or those already struggling with high utility bills. While the summer months may bring some relief with stable rates, the anticipated winter increase means customers should consider enrolling in budget billing or energy assistance programs now. UGI's prompt announcement of the projected increase allows customers time to take proactive steps.
For more details on the announcement and downloadable resources, visit the full release at the provided link. The company remains committed to transparent communication regarding rate changes and encourages customers to stay informed through official channels.
