Natural gas cost adjustment (GCA) rate decrease approved
Wholesale costs for natural gas have declined and are projected to remain soft, and we are passing along the savings to customers. City Council recently approved lowering the natural gas cost adjustment (GCA) rate for customers, decreasing the typical residential natural gas bill by about $7.17 a month, or 14.3 percent effective Feb 1, 2015. Typical residential usage is 60 CCF (hundred cubic feet) per month, year-round average.
Natural gas bills for typical commercial customers (1,240 CCF/month) will drop by $148 a month, or 18.6 percent. Typical industrial customer bills (based on 12,400 CCF/month) will fall by $1,482 a month, or 19.1 percent.
Like other energy providers, Springs Utilities periodically changes fuel cost adjustment rates to compensate for seasonal fluctuations in wholesale energy costs. As a not-for-profit, community-owned entity, Springs Utilities passes on fuel costs to customers, dollar for dollar, and makes no profit on the sale of energy.
The most recent GCA rate change increased typical residential bills by $1.81, or 3.7 percent, effective November 1, 2014.