INDIANAPOLIS – Assuming normal winter temperatures, Citizens Gas advised today that the typical Westfield residential customer could expect to pay an average of about $34 less for natural gas service over the November through March billing period compared to the same period a year ago. This represents about a 4 percent decrease compared to last winter.

Citizens Gas projects the typical customer will use 695 therms of natural gas from November through March for a total bill of about $788. This compares to about $822 the typical customer would have spent last year for 695 therms.

The decrease is due primarily to lower wholesale natural gas prices. Citizens Gas passes on the cost of natural gas to customers on a dollar-for-dollar basis. Gas costs account for about three-fourths of a customer's winter heating bill, with the remaining fourth being delivery and service charges.

“Lower wholesale natural gas prices and investments Citizens Gas is making to reduce gas costs should result in lower heating bills for our customers this winter. However, we still urge customers to take steps now to weatherize their homes for the winter ahead. We also strongly urge all customers to ensure they have working smoke and carbon monoxide detectors on all levels of their home and to be very careful using space heaters,” said Carey Lykins, President and CEO of Citizens Gas.

Recommended bill management and energy conservation tips include:

• Signing up for Budget Billing, which spreads the cost of winter heating into 12 equal monthly payments.
• Turning down your thermostat at night or when you aren't home.
• Installing additional insulation.
• Changing your furnace filter monthly and having your furnace serviced by a licensed technician to ensure safety and efficiency.
• Using the utility's online energy conservation tools at CitizensEnergySavers.com. The Citizens Home Energy Advisor provides a free home energy audit, and the Citizens Bill Analyzer helps customers understand how they are using energy.

Although the utility expects lower heating bills this winter, it is again prepared to ensure substantial energy assistance to customers in need. The utility has a petition pending with the Indiana Utility Regulatory Commission seeking renewal of its Universal Service Program (USP), which during the past three winters provided 9-24 percent bill discounts to eligible low-income customers. Last winter, Citizens Gas helped ensure distribution of more than $9 million to about 20,000 customers, including about $2 million from the USP.

The utility urges customers who are falling behind on their bill to call 924-3311 . Citizens Gas can direct customers to various energy assistance sources, provide assistance through its Warm Heart Warm Home Foundation, and set up flexible payment arrangements, which can allow customers to catch up on past due bills.

To help minimize the impact of sudden changes in wholesale natural gas prices, Citizens Gas utilizes a hedging strategy to purchase most of its gas supply during periods of low demand. Citizens Gas also stores gas in underground storage fields during the summer for use during the winter. This summer the utility initiated the Indiana Municipal Gas Purchasing Authority to make an advance purchase of gas that will save Citizens Gas customers more than $24 million over the next 15 years.

The utility also is reducing gas costs through its investment in the Heartland Gas Pipeline, which last December began providing the region with direct access to affordable new gas supplies from the western U.S. and Canada. The 25-mile pipeline in central Indiana saved Citizens Gas customers more than $3 million during its first year of operation.

Based on rates in effect on January 1, 2007, Citizens Gas' rates are in lower third of the 25 Indiana gas companies tracked each year by the IURC.

Monthly Projections Assuming Normal Weather

*These estimates may change significantly due to changes in weather and wholesale gas prices.

About Citizens Gas
Citizens Gas & Coke Utility is a Public Charitable Trust providing efficient and reliable energy services to more than 266,000 customers in and around Marion County. The Public Charitable Trust means the utility is managed only for the benefit of customers and the community.

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