September 14, 2009
National Grid's 820,000 Massachusetts natural gas customers can expect to pay less for natural gas this winter. Tomorrow the company will ask the Massachusetts Department of Public Utilities to approve new, lower natural gas commodity rates, which are on average approximately 18 percent lower than last heating season. The proposed rates are for the November 1, 2009 through April 30, 2010 winter heating season.
The cost of natural gas is one part of a customer’s bill. When all other elements are included, the net bill impact for a typical residential heating customer will mean a reduction in monthly bills of an average 10.5 percent. This translates into an average monthly savings of $24.75, or $148.50 through the winter heating season. The lower rates reflect a continuing decline in the world-wide price of natural gas.
“These lower prices couldn’t come at a better time and we are delighted to be able to pass them along to our customers,” said Nick Stavropoulos, National Grid’s executive vice president for gas distribution in the U.S. “The lower rates will help both residential and business customers in these difficult economic times.”
It is important to note that customer bills are comprised of two types of costs – the costs related to the delivery of natural gas, and the cost of the natural gas itself, which is the largest portion of the customer’s bill. National Grid does not control the cost of the gas. The company purchases natural gas on behalf of its customers and passes the cost directly on to customers without mark-up.
While National Grid doesn’t control the cost of gas, it does make every effort to assist customers in achieving greater savings and benefiting the environment through energy efficiency programs and services and by educating them on how they can use less energy through conservation. Customers can learn more by logging onto www.ThinkSmartThinkGreen.com .
National Grid is an international energy delivery company. In the U.S., National Grid delivers electricity to approximately 3.3 million customers in Massachusetts, New Hampshire, New York and Rhode Island, and manages the electricity network on Long Island under an agreement with the Long Island Power Authority (LIPA). It is the largest distributor of natural gas in the northeastern U.S., serving approximately 3.4 million customers in Massachusetts, New Hampshire, New York and Rhode Island. National Grid also owns over 4,000 megawatts of contracted electricity generation that provides power to over one million LIPA customers.