Canada: Gas prices rise with need
Winter’s deep freeze is going to force Albertans trying to keep their homes warm to dig deeper into their pockets, after new rates were proposed by natural gas providers yesterday.
Direct Energy announced that due to expected higher natural gas prices and because consumers were undercharged in their bills in November, customers will be forced to pay more to stay warm in December.
The only thing taking away some of the nip from the cold, hard truth is the government’s rebate program, which is triggered during the months of October through March and that will see some of the cost scaled back.
Before the government’s rebate is calculated, Calgary and area residents will pay an average of $270 for heating energy in December.
But after the rebate is applied, the average amount southern Alberta consumers will pay for natural gas next month will be $215.
The proposed natural gas rate is about $8.23 per gigajoule.
Gas bills will also be affected by the cold snap, said Direct Energy spokeswoman Lisa Frizzell.
“In terms of market prices, we’re seeing them trending upwards … partly in anticipation of cold winter weather across the continent,” said Frizzell.