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Yankee Gas Services Company
P.O. Box 270
Hartford, CT 06141-0270
Yankee Gas Customers to see Continued Bill Decrease This Month
Gas costs down significantly from last year; good news for customers
Mary B. Ingarra
(800) 594-5154 PIN 2987
MERIDEN, Conn., February 6, 2002 (NYSE: NU) --
Customers of Yankee Gas Services Company, part of the Northeast Utilities system, can expect to see their natural gas bills drop by as much as $17 this month as a result of the decline in natural gas costs. In its recent filing with the Connecticut Department of Public Utility Control (DPUC), Yankee Gas will lower its Purchased Gas Adjustment (PGA) by 11 cents per Ccf. The PGA is a cost adjustment to customer bills to reflect the actual cost of natural gas, above what is already built into Yankee’s base rates. The PGA has been steadily decreasing since March 2001.
“We’re happy to pass along these significant savings to our customers due to steadily decreasing natural gas prices,” said Dennis E. Welch, president and COO of Yankee Gas. “This is great news for natural gas customers who will reap the benefits of lower energy costs this winter.”
Last year when gas costs were at an all-time high, Yankee was forced to collect a PGA of 52 cents per Ccf in February 2001, compared to 5 cents per Ccf that will be collected this month. For a typical residential heating customer using 156 Ccf in February, their bill will be approximately $157 in February 2002, compared to $230 in February 2001; that’s a decrease in their monthly bill of about 32 percent from last year.
National outlook and supply
Lower natural gas costs are due to a number of factors and national trends:
A slower economy has led to decreased overall demand
The mild winter has resulted in above average natural gas storage levels
The high prices of last year created an incentive for producers to increase exploration and development projects
“Natural gas is a commodity, driven by supply and demand in the market,” said Welch. “The good news is that lower energy costs can assist with economic growth, lowering costs for businesses and consumers who use natural gas to heat their homes and operate their businesses.
“The important thing is that we are able to put money back in the wallets of our customers due to lower natural gas costs.”
Yankee Energy System, Inc., (YES) which is part of the Northeast Utilities system, includes Yankee Gas Services Company, the largest natural gas distribution company in Connecticut serving approximately 187,000 customers in 70 cities and towns throughout the state. Yankee Energy also includes Yankee Energy Financial Services Company, which provides a full range of residential and commercial energy equipment financing options. Further information about YES can be obtained from its Web sites:
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