The U.S. Energy Information Administration predicts that this winter will be colder than last year, though still below normal compared to the last 10 years; however, Memphis Light, Gas and Water anticipates natural gas will also be at the second lowest price in the last decade.
“Natural gas prices this winter are set to be 36 percent lower than the previous decade. That's good news for MLGW customers,” said MLGW President and CEO Jerry Collins Jr.
As part of its 2018 Budget, MLGW proposed options for a gas rate increase, which would be the first since 2008. The option for a 4.5 percent gas rate increase ($1.62 per month in 2018 and $1.69 per month in 2019) will be voted on by the Memphis City Council on December 19.
“Even with the modest rate increase that is proposed, the average residential customer will still enjoy one of the lowest gas bills in the country,” said Collins, noting MLGW has had the lowest combined average winter residential utility bill in the country for five consecutive years.
The Council will also vote on recommendations for electric and water rate increases as well. The first proposed increase for electric rates since 2004. Combined, the recommended options for electric, gas and water rates would have an average monthly impact of $4.42 in 2018, $4.55 in 2019 and $2.92 in 2020.