Natural gas prices are set to decline in March for a second month in a row after hitting a record level in January, San Diego Gas & Electric reported Tuesday.
The utility said a typical residential customer’s gas bill is expected to be around $85 in March, down from around $225 in January, with the price per therm falling from $3.45 to $0.60.
SDG&E does not set the price for natural gas, which is determined by national and regional markets. The utility bills customers for the gas used with no markup.
“This substantial reduction in gas prices is wonderful news for customers,” said SDG&E Vice President of Customer Services Dana Golan. “We understand the unprecedented volatility in gas markets across the Western U.S. has been difficult and we are pleased to see meaningful relief coming for families and businesses.
SDG&E customers will also see a break in their February and March billing cycles thanks to the state’s California Climate Credit program. In February, natural gas customers received a $43.40 credit, and in March electric customers will see a $60.70 credit.
Acknowledging that customers still need help, on Monday SDG&E announced $16 million in relief for customers and in community assistance funds.
“We remain focused on providing support and connecting customers with resources and financial assistance to help get them through this challenging time,” said Golan.
The utility said prices spiked in January for a variety of reason, including below-normal temperatures on the West Coast, reduced supplies from Canada, maintenance of a major pipeline in Texas and limited storage in California
