UGI Utilities Seeks $99.4 Million Annual Rate Increase for Pennsylvania Natural Gas Customers
January 28th, 2026 3:58 PM
By: Newsworthy Staff
UGI Utilities has requested a $99.4 million annual rate increase from Pennsylvania regulators to fund system upgrades and maintain service reliability, potentially affecting over 700,000 residential, commercial, and industrial customers across 46 counties.

UGI Utilities, Inc. - Gas Division has formally requested approval from the Pennsylvania Public Utility Commission to increase its base rates for natural gas service by $99.4 million annually. The proposed adjustment would impact residential, commercial, and industrial customers throughout the utility's extensive service territory. According to the company's filing, the additional revenue is necessary to recover investments made in system infrastructure upgrades and to ensure continued safe and reliable natural gas delivery to communities.
The rate increase request represents a significant financial development for Pennsylvania utility customers, particularly given UGI's substantial customer base of more than 700,000 accounts spread across 46 counties. This broad geographic reach means the proposed changes could affect households and businesses in diverse communities throughout the state. The utility has indicated that the funds would support ongoing maintenance and improvement projects essential for modernizing aging infrastructure and meeting evolving safety standards.
Regulatory review by the Pennsylvania Public Utility Commission will involve thorough examination of the justification for the requested increase, including analysis of UGI's capital investments and operational expenses. This process typically includes public hearings and opportunities for customer input, allowing stakeholders to voice concerns about potential bill impacts. The commission's decision will determine whether the full $99.4 million increase is approved, modified, or denied based on evidence presented during proceedings.
For customers seeking additional information about UGI Utilities and its operations, the company maintains an online presence at https://www.ugi.com where corporate details are available. The rate case filing comes at a time when many utilities nationwide are seeking regulatory approval for infrastructure investments, reflecting broader industry trends toward system modernization and resilience enhancement. The outcome of this proceeding could influence future rate requests by other Pennsylvania utilities and set precedents for how infrastructure investment costs are allocated between companies and consumers.
Natural gas remains a primary energy source for heating and industrial processes in Pennsylvania, making utility rate decisions particularly consequential for household budgets and business operations. The proposed increase highlights ongoing tensions between utility investment needs and customer affordability concerns, especially as energy costs continue to be a significant component of monthly expenses for many Pennsylvanians. The Pennsylvania Public Utility Commission's eventual ruling will balance these competing interests while ensuring service reliability and safety standards are maintained across UGI's extensive distribution network.
Source Statement
This news article relied primarily on a press release disributed by Reportable. You can read the source press release here,
