SPRINGFIELD, Mo. (KY3) – Cold weather conditions have created high demand for natural gas supplies in the Springfield region, according to City Utilities.
According to City Utilities, natural gas resources in the Southwest are freezing, limiting supply. In response, suppliers are expected to raise prices for the remaining natural gas reserves.
“This is an unprecedented weather event affecting not only all of our customers, but customers of natural gas companies across the Midwest,” said Gary Gibson, General Manager and CEO of City Utilities in Springfield, “Our priority in every service we provide is to keep our customers safe and make sure we do everything we can during this harsh winter event. ”
Costs have risen from a market price of $ 3 per decatherm to nearly $ 400 per decatherm, City Utilities said in a release Sunday.
Although CU buys less than 25 percent of its natural gas supply in the market, this situation is likely to affect future energy bills. The remainder of the natural gas for City Utilities customers comes from fixed price and storage contracts, which are purchased out of season.
In preparation for icy weather, City Utilities has entered into a natural gas restriction agreement with several commercial and industrial customers who can switch from natural gas to an alternative fuel source. This option immediately forwards delivery to residential and other commercial customers and is effective until 9am Tuesday, but is subject to extension.
In addition, City Utilities activated the Natural Gas Peak Shaving system which combines a supply of propane and air and is injected into the natural gas transmission system to meet this peak demand. This is the first time this system has been used and introduced for such an event.
“We’re asking our community to work together, as we’ve done so many times in the past, to get through this peak period with the least impact possible,” said Gibson. “We’ve already seen companies volunteer to reduce their use, and we’re asking everyone to do the same.”
There are a few steps you can take to help reduce the impact of this weather on your energy bill:
• Set your thermostat at least 2 degrees lower than your normal setting. 68 degrees is the recommended average setting for the winter.
• Limit the use of natural gas fireplaces.
• Limit the use of plug-in electric space heaters.
• Lower the temperature setting of your boiler.
• Look for other options in your home to reduce the use of electricity and natural gas during this short period
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