Natural gas surges 14% as cold snap ahead is expected to boost demand
US natural gas futures surged 14% in early January 2022. This is on top of recent increases beginning in the fall of last year. In early October into November 2021 oil and natural gas prices surged.
Natural gas is a commodity purchased from suppliers (including utilities) at published prices. Typically, the price referenced is the NYMEX. All natural gas suppliers are impacted by the same cost increase. However, some suppliers such as utilities can delay the impact due to their regulatory price recovery. This can be understood when utilities do not share storage with their third-party suppliers. Natural gas in storage will not increase when the market price does. Those utilities can appear to have a lower price when in fact they just bought the gas during the summer and stored it. Michigan utilities operate like this; they do not provide their customer choosing a gas supplier with their share of storage volume. Therefore, the energy suppliers in Michigan cannot readily offer storage to their customer. Illinois utilities share their storage volumes equally between choice and tariff customers. Therefore, Illinois customer choice customers have nearly 20% of their winter gas purchased during the summer. Realgy calls this our Storage Program see Storage – Realgy Energy Services.
Natural gas pricing was not expected to rise significantly. However, Covid, weather, and consumer behaviors changed that forecast.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. We offer Service Plans that will provide electric and natural gas at wholesale pricing direct to customers without any utility markup. Our Service Plans work with the local utility to provide seamless service and annual energy savings. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations. Currently we are in construction of our 8th project with the park district of Highland Park.
Additional Information:
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Natural gas surges 14% as cold snap ahead is expected to boost demand (cnbc.com)
Looking Back
As we prepare to ring in the new year, most are looking back on an incredible year of innovations and historical moments. Events such as these do not occur without hard work, inspiration, and dedication. Look back at the last year and relish the ups and downs, the hurdles and accomplishments; whether minor or grand, know that 2019 set the precedence for our future. And it sure is looking bright.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. We offer Service Plans that will provide electric and natural gas at wholesale pricing direct to customers without any utility markup. Our Service Plans work with the local utility to provide seamless service and annual energy savings. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations.
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Indiana Natural Gas Services
If you live or work in Indiana, your local gas utility offers a CHOICE program supported by the Indiana Utility Regulatory Commission, in which you may voluntarily elect to have your natural gas provided by a supplier other than your local utility!
Realgy Energy Services serves natural gas customers in the Nipsco and Citizens Energy service areas of Indiana.
INDIANA NATURAL GAS CHOICE PROGRAMS:
- Nipsco: Choice
- Citizens Energy: Energy Select
Call today to find out how Realgy can save you money on your natural gas bill!
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