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Natural gas prices set to rise on New Year's Day

Average Orillia customers will see an annual increase around $8; Hike 'reflects forecasted increases in North American market prices for natural gas supplies'
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Orillia residents who buy natural gas from Enbridge Gas will see an increase on their bills in 2020. 

The natural gas supplier, which merged with Union Gas last January, has approval from the Ontario Energy Board to increase rates. Those with Enbridge before the merger will see a rate increase around one per cent in 2020, or about $8 per year. 

Southern Ontario residents formerly with Union Gas will see an increase of about $6 per year. 

Those in Northern Ontario (Sault Ste. Marie, North Bay, Timmins, Elliot Lake) and other parts of northeastern Ontario will pay an increase of about $20 in 2020.

"This change reflects forecasted increases in North American market prices for natural gas supplies and the cost to transport natural gas from Western Canada and the U.S. into Ontario," stated a press release by Enbridge Gas.

"In addition, there are changes in delivery rates which were previously approved by the Ontario Energy Board, to reflect the expected costs to safely and reliably deliver natural gas to homes and business in 2020."

The new prices for natural gas take effect Jan. 1, 2020.

Rate increases that took effect Nov. 1, 2019 hiked typical annual residential gas bills by $1.96.

"Small commercial customers who buy natural gas from the utility will see changes ranging from a decrease of $27 to an increase of $513 per year depending on location," the utility said.

"Natural gas continues to be the most affordable energy solution for homes and business, saving households up to $1,800 per year on home and water heating versus electricity, oil or propane, Our customers can save even more by leveraging Enbridge Gas energy-efficiency rebate programs," said Malini Giridhar, Enbridge's vice president of business development and regulatory.

Enbridge Gas Inc., was created one year ago from a marriage of Union Gas Ltd. and Enbridge Gas Distribution.

Its distribution arm heats more than 75 per cent of Ontario homes and boasts 3.7 million customers.

– with files from SooToday


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David Helwig

About the Author: David Helwig

David Helwig's journalism career spans seven decades beginning in the 1960s. His work has been recognized with national and international awards.
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