News Details

Natural Gas Fixed-term Rate Indications

 

On Monday, February 3, City Council voted to eliminate G-11 (fixed-term rate), G-12 (custom rate), and G-4 (direct access).  The termination of those rates and the associated rule changes will be effective March 1, 2014.  Technically, customers have until that time to lock in a rate, after that time all customers will be charged a monthly market pass-through commodity rate (the G-3 rate that they are all on now).  The last indicative fixed-term rate will be generated on February 19, 2014. 

 

These rates include a risk premium which converts the product from a fixed price for a fixed volume to a fixed price for a variable volume.


The last day to lock in a fixed-term rate with a March 1, 2014 start date is 12:00 noon on February 25, 2014.

 

Start:

 

Mar 2014          12-month        58.2 cents per therm

                        24-month        54.3 cents per therm

 

Apr 2014           12-month        58.0 cents per therm

                        24-month        54.0 cents per therm

 

May 2014          12-month         57.5 cents per therm

                         24-month        53.7 cents per therm

 

Administrative, PG&E local transportation and Palo Alto local distribution fees are not included and can be changed by Palo Alto City Council during the term of the rate. 

 

For more information contact Karla Dailey (650) 329-2523

Last Updated February 19, 2014