August Natural Gas Prices Higher this Year than in 2007

Peoples Gas and North Shore Gas Encourage Eligible Customers to Enroll Now in the Budget Payment Plan

Peoples Gas and North Shore Gas today encouraged its 1-million residential and business customers to enroll in the budget payment plan as one way to help manage higher energy costs. Although natural gas prices receded in August, they are still significantly higher than 2007 the utilities said. The companies said while the gas charge rates for August 2008 decreased slightly from July, they are still significantly higher than August 2007.

The gas charge reflects what Peoples Gas and North Shore Gas pay for natural gas on the open market. The utilities sell gas to customers at that same price without a mark up, and do not profit from the sale of gas.

Peoples Gas and North Shore Gas anticipate that customers will see higher bills during the next winter season due to the higher natural gas prices. “We know it’s difficult to think about the upcoming winter season while we are enjoying great summer weather,” said Rodrigo A. Sierra, vice president of Public Affairs, “But with these higher natural gas prices, we don’t want customers to be caught off-guard and encourage them to enroll now in the budget payment plan to avoid sticker shock with next winter’s bills.”

The budget payment plan helps keep bill payments more consistent throughout the year. This plan offers stability that avoids the gas bill peaks of January’s cold snap and the low gas bills during the summer. “The budget plan, coupled with energy conservation, are two good tools to help manage energy bills,” adds Sierra.

Customers can sign up for the Budget Payment Plan at www.peoplesgasdelivery.com or www.northshoregasdelivery.com. In addition, eligible customers can simply pay the budget payment amount on their bill to automatically enroll. Customers can also find energy-and environment saving tips online.