Natural gas prices could rise 48% this winter, Nicor estimates so far.
Nicor customers should expect the cost of heating their homes this winter to put a significant dent in their wallets, consumer advocates warn.
According to Nicor’s estimates, the typical household will pay about $674 on heating bills from November through March. That’s an increase of 48% compared to the $455 paid by the same residential customer over the five-month season last year.
The Naperville-based utility giant supplies natural gas for more than 2.2 million residential and business customers across northern Illinois outside Chicago. Nicor passes market prices for gas directly to consumers without markup, charging separately for delivery on monthly bills.
“These are still projections, but given the Nicor gas rate increases of the last few years, plus higher natural gas prices for the commodity, it’s looking like it’s going to be a tough winter for consumers,” said David Kolata, executive director of the Citizens Utility Board, a Chicago-based consumer watchdog.
Historic cold weather that gripped Texas in February, freezing natural gas pipelines and pinching off supplies, sent natural gas prices “through the roof,” Kolata said. Those costs are still being passed on by utilities, he said.
In general, natural gas prices also have risen because of issues related to supply and demand as the economy has recovered from the pandemic, Kolata said.
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