City council approves Colorado Springs Utilities rate decrease, effective Dec. 1
COLORADO SPRINGS, Colo. (KRDO) -- Tuesday, Colorado Springs Utilities announced city council approved rate decreases that'll take effect Dec. 1.
According to the utility company, the rate decrease is for electric and natural gas rates in anticipation of lower-than-forecasted winter natural gas prices.
Springs Utilities estimates the impact of a decrease of $30 per month on the average residential bill for winter months, Dec. through February, when natural gas use is higher. When taking into account all rate charges in 2022, the average residential winter bill will be about $35 lower than last year.
Springs Utilities said the rate changes are:
- Electric rate: $0.0462 to $0.0391 per kilowatt (1,000 watts) hour.
- Natural gas rate of $0.7775 per ccf (100 cubic feet) to $0.6008 per ccf.
According to utility officials, rates were set based on higher projected natural gas costs. However, milder winter temperatures across the U.S. has resulted in more gas in storage and the additional supply has helped bring down the price. The full recovery of the cost associated with the 2021 Winter Storm Uri, Springs Utilities said it's to pass through lower market costs while other utilities are increasing rates.
The change is effective a month earlier than scheduled, starting on Dec. 1. The next scheduled cost adjustment is expected on April 1.
Colorado Springs Utilities offered the following tips on managing heating costs:
- Weather strip doors and windows to reduce the amount of air loss from your home.
- Change your furnace filter every 30 days and schedule a qualified contractor to perform an annual check-up.
- During winter, set your thermostat no higher than 68 degrees when home and 60 degrees when away or sleeping. Springs Utilities offers a $50 rebate for installing ENERGY STAR smart thermostats.
