KANSAS CITY, Mo., Oct. 30, 2014 /PRNewswire/ -- Wholesale natural gas prices are increasing and this will mean higher natural gas prices for Missouri Gas Energy (MGE) customers. The Missouri Public Service Commission has approved a request from MGE to increase the cost of gas rate for customers to $0.685 per hundred cubic feet of natural gas effective November 1. There is no markup on the cost of natural gas for our customers. The change reflects an increase in the prices charged by MGE's wholesale natural gas and pipeline transportation suppliers during the past year. Compared to current rates, this would mean an increase of about $4.25 per month or six percent of the overall bill for a typical residential customer. Weather and other factors that affect customer usage, however, may also impact the customer's bill.
"Natural gas remains the most cost effective heating source for homes. We work hard to manage all of our natural gas supply resources in the most efficient manner possible and pass savings on to customers. In fact, this time last year, we were able to lower the rate for customers because we were paying lower prices," said Steve Lindsey, president of MGE.
For customers looking to pay the same amount on their gas bill each month, MGE offers the Average Bill Calculation Plan (ABC Plan) to all customers. It is a free service that provides customers with consistent bill amounts throughout the year. Customers can enroll today and the payment plan will start on their next billing cycle. To sign up, call 816-756-5252 or toll-free 800-582-1234.
This rate appears on bills as "Cost of Gas" and accounts for nearly 60 percent of a typical residential customer bill. This represents the actual cost that MGE pays for natural gas including transportation. The remaining 40 percent is made up of the infrastructure, operating and maintenance costs, as well as state and local taxes that MGE incurs to deliver that gas safely and reliably to homes and businesses.
ABOUT MISSOURI GAS ENERGY
Missouri Gas Energy has provided natural gas service to the residents of the Kansas City metropolitan area and western Missouri for nearly 150 years. Now owned by Laclede Gas Company, a subsidiary of The Laclede Group, Inc. (NYSE:LG), we are part of the largest gas distribution company in Missouri, delivering natural gas to more than 1.1 million customers. Missouri Gas Energy serves residential, commercial and industrial customers in 30 counties. For more information, please visit www.MissouriGasEnergy.com.
SOURCE Missouri Gas Energy
