UGI Utilities, Inc. announced that its purchased gas cost rates will not change on June 1, 2026, providing stability for customers through the summer months. However, the company projects a rate increase in December 2026 due to anticipated higher wholesale natural gas costs.
UGI Utilities, based in Denver, Pennsylvania, serves more than 760,000 natural gas and electric customers across 46 counties in Pennsylvania and one county in Maryland. The company adjusts its purchased gas cost rates periodically to reflect changes in the wholesale natural gas market.
According to UGI, the projected December increase is driven by rising natural gas prices in national markets, which are influenced by factors such as weather patterns, storage levels, and global demand. The company emphasizes that its rates are based solely on the actual cost of natural gas, without any markup for profit.
Customers concerned about the projected increase can take steps to manage their energy usage. UGI offers resources and tips for energy efficiency on its website at www.ugi.com. Additionally, the company provides budget billing and payment assistance programs for eligible customers.
The announcement comes as part of UGI's regular quarterly update on purchased gas costs. The company files its rate adjustments with the Pennsylvania Public Utility Commission for review and approval.
UGI Utilities continues to monitor market conditions and will provide updates as the December rate change approaches. Customers with questions can contact UGI customer service or visit the company's social media channels on Facebook and X.
The stability of supply rates through June is a relief for customers who have faced volatile energy prices in recent years. The projected December increase underscores the ongoing challenges in the natural gas market and the importance of energy conservation and financial planning for households.
