13 April 2012 0 Comments

Billion Dollar Pipeline Marcellus Shale NE Pennsylvania & Natural Gas Prices to Consumers Decline

The 200-mile Com­mon­wealth Pipeline would begin in Lycoming County and run between Har­ris­burg and Lan­caster then cross­ing the Susque­hanna River to York before con­tin­u­ing south to carry nat­ural gas from the shale fields to Bal­ti­more and Wash­ing­ton, D.C., said Peter Ter­ra­nova, vice pres­i­dent of mid­stream assets and ser­vices at UGI Energy Ser­vices. The pipeline also would serve Philadelphia.

Con­struc­tion could begin in 2014 and be com­pleted by the sum­mer of 2015, Ter­ra­nova said. The project still needs state and fed­eral reg­u­la­tory approvals, he said.” (Scott Detrow State Impact 1 March 2012)

  Pipeline Construction in Susquehanna County unrelated to new BILLION dollar pipeline construction project.

 


From EnergyInDepth: AMERICAN NATURAL GAS = CONSUMER SAVINGS

          “UGI to Cut Gas Prices by 4.3%, Credits Increased [Marcellus] Gas Production”: Natural gas prices for UGI customers are dropping again, and will soon reach a price more than 40 percent lower than four years ago. The company announced Wednesday it plans on cutting residential gas prices by about 4.3 percent. The price cut is directly related to market declines as a result of increased natural gas production in the Marcellus Shale. (Patriot-News, 2/29/12)

 ·         “UGI Customers to See Drop in Monthly Bills”: As gasoline pump prices climb, consumers can find relief in falling natural gas bills. UGI Penn Natural Gas said the decrease that goes into effect today will result in a 4.5 percent decline in the average customers’ monthly bill to $94.42 per month for someone using 8.9 Mcf, thousand cubic feet of gas monthly. … The decline in natural rates over the last four years has been substantial. The current rate is less than half what it was in 2008. UGI spokesman Joe Swope said UGI’s 570,000 customers are paying $300 million less for natural gas annually than they had in 2008. The reason for the dramatic decline is the abundance of natural gas from newly developed reserves from rock formations such as the Marcellus Shale underlying much of Pennsylvania. (Citizens Voice, 3/1/12)

 

·         More Affordable Natural Gas Rates for Philadelphia Consumers: The Philadelphia Gas Works said Thursday it has lowered the amount its customers pay for gas. The city-owned utility said its residential customers will pay $1.40 per 100 cubic feet of natural gas, a 6.6 percent decrease from the $1.51 per 100 cubic feet they had been paying. … PGW anticipates the rates will remain stable because of an abundance of natural gas on the market. (Philadelphia Business Journal, 3/1/12)

 ·         Consumer Natural Gas “Prices Lowest in a Decade”: Effective March 13, [Dominion East Ohio Gas’] rate will be $3.45 per 1,000 cubic feet – 23 cents per Mcf lower than the February price and the lowest since May 2002. … [Columbia Gas of Ohio] had other good news for consumers this week. The company said it would sharply lower budget bill amounts immediately by about 35 percent on average. Columbia customers using an average amount of gas will see their monthly bills fall from $82 to about $53, said the company. (Plain Dealer, 3/1/12)

 ·         Marcellus Shale Creating “Additional Savings” for Pa. Families: While the cost of gas to fuel your car continues to rise, the cost of natural gas to heat your home is going down. UGI Utilities Inc. announced Wednesday that the price it pays to buy natural gas is going down, so by law, the Reading-based utility is passing the savings on to its customers. … With that decrease, UGI said the average monthly bill for customers will be more than 40% lower than it was four years ago. “Continued lower natural gas prices, supported by the introduction of Marcellus Shale gas into the market, has helped create additional savings that we are pleased to be able to pass on to our customers,” said [UGI’s] Vicki O. Ebner. (WFMZ-TV, 2/29/12)

 ·         “Low Natural Gas Prices Bring Good News in Electric Bills”: Residential electricity prices in Pennsylvania and New Jersey continue to move downward, thanks to the low cost of natural gas. PPL Electric Utilities this week became the latest utility to reduce its default generation charge. The Allentown company said its electricity supply fee, which is adjusted quarterly, will decrease nearly 11 percent March 1. (Philadelphia Inquirer, 2/24/12)

 ·         “Abundance of Natural Gas We’re Seeing a Result of Marcellus Shale”: With gas prices giving you more pain at the pump and grocery bills getting greedier for your wallet, you might be relieved to hear at least one staple is bucking the trend. PPL is offering lower rates starting March 1, giving customers a seven percent drop in electric costs. That means a little discretion at home can bring big savings on your monthly bill. … Low natural gas rates are also to thank, helped in part by Marcellus Shale drilling. “A lot of it is the abundance of natural gas we’re seeing as a result of Marcellus Shale,” Jennifer Kocher [of the Pennsylvania Public Utilities Committee] said. (WHTM-TV, 2/27/12)

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