March gas rates skyrocket

20140303_2014GasPrices_blogIllinois natural gas users all woke up to a more expensive reality over the weekend. March gas rates for the utilities shot up, prompting CUB to call for the increases to be investigated.  

Peoples Gas customers will see their rates climb to a whopping 93 cents per therm.  North Shore will be at 88 cents per therm, and Nicor customers face a lower, but still significant, hike to 68 cents per therm. 

The March monthly rates represent 80, 55, and 33 percent increases from the last month!  Even Ameren customers will see their rates increase about 9 percent, to about 63 cents a therm. 

Under law, utilities do not profit off the actual price of gas. They are supposed to pass those costs onto customers, with no markup. But there is a yearly review of the utilities’ gas buying strategies, and state regulators can order refunds if a company did not do all it could to shield customers from high market prices. (That’s why CUB is calling for state regulators to look into the price spikes.) 

In the meantime, read our guide here on simple ways you can take action and save money.

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This entry was posted in Energy, Natural Gas, Nicor, Nicor Gas, North Shore Gas, Peoples Gas. Bookmark the permalink.

3 Responses to March gas rates skyrocket

  1. Pingback: What is your gas utility charging on Oct. 1? |

  2. Anonymous says:

    Peoples Gas is planning on going up to $1.19 per therm. Ambit Energy offers a fixed rate of $0.90 per therm as of March 22. I don’t know how much longer they will be offering this lower rate, so best to lock in now. If the prices decrease later, you can lock into that lower rate, but if they go up you will remain in that lower rate. It’s also free to try and free to cancel at any time. Here’s the website http://www.AmbitSaves.com

  3. James Berrry says:

    Your article above states “Nicor customers face a lower, but still significant, hike to 68 cents per therm.” That is incorrect. The price on my December, 2013, Nicor bill was $0.680 per therm. The January, 2014, price was $0.864 per therm, and the February, 2014, was $1.187 per therm. That is an increase of 75% in two months! I called Nicor only to be told that the price increase is due to the cold winter, supply and demand. Nonsense! The price of natural gas at the wellhead has been hovering around $4.00 per million BTUs for months. It has decreased from ~$13.00 per million BTUs less than three years ago. A 75% increase in two months cannot be due to supply and demand alone.
    Nicor also said that the prices charged by various suppliers are available on CUB’s website. I can’t find that information. Can you direct me?
    Thank you.

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