UGI Announces Modest Natural Gas Rate Increase for December 2025

UGI Utilities, Inc. has announced a smaller-than-expected increase in the purchased gas cost rate that will take effect beginning December 1, 2025. The adjustment will result in a modest 0.9% increase for the average residential heating customer receiving gas supply from UGI. This change will raise the total average monthly bill from $118.43 to $119.49 per month for typical residential customers.

The rate adjustment reflects the actual cost of natural gas that utilities are required by law to pass directly through to customers without any markup. This regulatory framework ensures that customers pay only the actual cost of the commodity itself, with utilities recovering their operational expenses through separate rate structures. The smaller-than-anticipated increase suggests some stabilization in natural gas market prices compared to earlier projections.

UGI recognizes that even modest increases can create challenges for some households, particularly those with limited or fixed incomes. Customers concerned about paying their heating bills are encouraged to visit https://www.ugi.com/customerassistance to determine eligibility for various energy assistance programs. The company can also help eligible customers apply for federally funded Low-Income Home Energy Assistance Program grants when the application process opens on December 3.

Beyond direct assistance programs, UGI offers multiple payment options to help customers manage their energy expenses. These include budget billing programs that level out seasonal fluctuations, online payment options through UGI's account center and mobile application, and automatic payment programs that provide convenience and help avoid missed payments. These tools can be particularly valuable for households managing tight budgets during the winter heating season.

The company also emphasizes the importance of energy efficiency in managing overall energy costs. Customers seeking to reduce their energy consumption can find practical advice and program information at https://www.ugi.com/energy-saving-tips. Simple efficiency improvements and behavioral changes can help offset the impact of rate adjustments while contributing to broader environmental benefits through reduced energy consumption.

This announcement comes as UGI continues serving more than 760,000 natural gas and electric customers across its service territory. The modest nature of this rate adjustment provides some relief to consumers who have faced more significant energy cost increases in recent years, while the comprehensive assistance offerings demonstrate the utility's commitment to maintaining service accessibility for all customer segments.