Natural Gas Market Update
As predicted higher natural gas market prices this winter have impacted customer bills across the country.
CFU customers may have noticed the impact on February utility bills. This reflects high natural gas market prices experienced in January.
Natural gas market prices impact customers because there is a variable charge on utility bills that reflects the market price of gas and the cost to transport the gas to Cedar Falls.
The Purchased Gas Adjustment (PGA) fluctuates up and down based on the wholesale price CFU pays for the gas it provides to customers. CFU does not mark up what we pay for natural gas. The cost of the gas commodity is a pass-through to customers so if gas market costs go up or down so does the PGA.
CFU has agreements in place that shield customers by reducing price volatility including locking in a portion of our gas supply at a fixed price.
Utility bill impacts vary by customer usage winter temperatures and market conditions. Recent mild weather resulting in less demand to heat homes and lower natural gas market prices should help ease March utility bills.
Customers can sign up for CFU’s budget billing plan to level out the seasonal ups and downs of heating and cooling costs.
This is accomplished by dividing a customer's estimated annual utility charge into 12 equal payments.
For more information and to sign up call Customer Service at 319-268-5280 or email firstname.lastname@example.org.