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Elevated prices: CUB’s May report on gas market volatility

In May, prices for all 9 major Illinois gas utilities were higher than they were a year ago, led by Peoples Gas, which is charging customers a supply price that is about 116 percent higher; North Shore Gas, with a price about 81 percent higher and Nicor Gas, with a price that is up about 59 percent. 

Gas prices have been moving up in recent months. The Energy Information Administration’s Short-term Energy Outlook forecasts that prices could be elevated through 2026. Colder-than-normal winter weather in January and February, as well as record gas exports (meaning profit-hungry companies sending gas outside the U.S.) have helped increase demand and prices.  Hopefully, Illinois consumers won’t be using as much gas this month because of warmer weather. 

Gas utilities file supply prices–called the Purchased Gas Adjustment (PGA)–each month with the Illinois Commerce Commission (ICC). Here’s what CUB uncovered in our review of prices in May.

  • Compared with last month, five of 9 utilities charged prices that were higher:  Consumers Gas (about 87 percent higher), North Shore Gas and Peoples Gas (about 11.8 percent), MidAmerican Energy (about 1.1 percent), and Liberty Utilities (about 1 percent). These four utilities saw supply price decreases: Mt. Carmel (about 48 percent lower), Illinois Gas (about 9.9 percent), Nicor (about 6.9 percent), and Ameren (about 0.8 percent). 
  • Compared with May 2024, this month’s prices were higher for all nine utilities, ranging from about 3 percent higher for Ameren to about 116 percent higher for Peoples Gas. 

May Gas Prices
Ameren Illinois– 48.49 cents per therm (up about 3 percent from May 2024)
Consumers Gas– 57.33 cents per therm (up about 45.5 percent from May 2024)
Illinois Gas– 60.26 cents per therm (up about 42.4 percent from May 2024)
Liberty Utilities– 61.12 cents per therm (up about 5.3 percent from May 2024)
MidAmerican Energy– 58.45 cents per therm (up about 60.1 percent from May 2024)
Mt. Carmel– 18.51 cents per therm (up about 20 percent from May 2024)
Nicor Gas– 54.00 cents per therm (up about 58.8 percent from May 2024)
North Shore Gas– 62.61 cents per therm (up about 80.9 percent from May 2024)
Peoples Gas– 59.00 cents per therm (up about 116.3 percent from May 2024)

Note: Your utility is determined by where you live, so you cannot switch from one utility to another. Under Illinois law, gas utilities are not allowed to profit off supply prices—they pass those costs from gas producers and marketers onto customers with no markup. State regulators annually review the utilities’ gas-management procedures to evaluate whether the companies did a reasonable job with their gas purchases, given market conditions, to hold down costs for consumers as much as possible.

Tips about your gas bill: 

  • See if you qualify for energy assistance. The application process for the Low Income Home Energy Assistance Program (LIHEAP) is open. To apply or learn more, visit www.helpillinoisfamilies.com or call the Help Illinois Families Assistance Line at 1-833-711-0374
  • Keep the lines of communication open with your utility. If you are having trouble affording your gas bills, it is vital that you contact your utility. Ask if you qualify for any energy assistance programs; see if you can set up a payment plan to give you a longer time to pay off your bills; and inquire about no or low-cost energy efficiency programs the company offers. Do everything you can, legally, to prevent disconnection. If you are shut off, you lose all of the rights and protections that exist for active customers.
  • Beware of alternative supplier rip-offs. If a deal seems too good to be true, there’s a good chance it is. If the utility supply price increases, remember that it’s due to market factors that also will increase alternative supplier prices. As volatile as gas utility prices are, your best bet for gas supply is likely with your utility and not with an alternative supplier. Read our tips. (Note: Only consumers in Northern Illinois have gas choice.)
  • Practice energy efficiency at home. For tips and information about helpful energy efficiency programs offered by your utility, visit CUB’s Clean Energy page. Also read our fact sheet: Year-round Energy Saving Tips.