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ATTENTION! Arctic Cold Front Impacting Price of Natural Gas
Arctic Cold Front Impacting Price of Natural Gas
The Village of Rossville is warning residents about the impact the arctic cold front had on natural gas prices over last weekend, Feb. 13-16, and potentially through next week. The Village is asking customers to reduce their natural gas usage during the next week.
The arctic cold front that is causing the extreme frigid temperatures across the entire Midwest and eastern portion of the country is also affecting Texas and Oklahoma with ice storms and potential wellhead freeze offs. This is causing unprecedented natural gas usage. As a result, the pipeline companies have declared an emergency and placed a restriction on the pipeline. This extremely high natural gas usage, along with the pipeline restrictions, is having a direct impact on natural gas prices. Natural gas prices have surged to record highs.
Prior to this emergency, natural gas was selling around $3.00 per dekatherm. As of Friday, the price of natural gas was as high as $600 per dekatherm before closing on Friday at $224.56 per dekatherm. This is a 7500% increase in price between Friday and Saturday prices. These increased prices were in effect Saturday, Feb. 13 until Tuesday, Feb. 16 and could potentially last longer into next week. These high prices will affect everyone that purchases and uses natural gas.
The Village of Rossville has contacted state and federal officials requesting their assistance in resolving this egregious price increase. We are asking their assistance in determining why the pipeline and natural gas suppliers caused the price of natural gas to increase so significantly. We are talking with officials on how this will negatively impact our families and businesses and requesting any relief that may be available. Unfortunately, if there is no relief from state or federal authorities, the natural gas customers could see an increase in their utility bills. Those prices would be reflected in the April and May utility bills.
We are in a pandemic and people are at home more. We had the coldest weekend this season which will increase gas usage. Businesses are struggling to survive with lack of customers. This will affect gas prices throughout the entire Midwest and eastern United States. This egregious increase in the price of natural gas is a prime example of price gouging from the natural gas suppliers that will have a negative impact on families, especially low income and seniors, and businesses at a time that they can least afford it.
The Village of Rossville will be negatively impacted by the severe price increase. We will spend more for natural gas over those 4 days than we will spend in the other 361 days this year combined. We have no choice but to pay the price but we will be pursuing any and all kinds of relief for the Village and our residents.”
The Village of Rossville is working with our state and federal lawmakers to counter this egregious pricing. We’re fully aware of the impact this has on our low-income and elderly residents.” Customers are asked to reduce their natural gas usage during the next week due to the price increases.
We encourage you to contact your state and federal officials.
Sen. Dick Durbin
Sen. Tammy Duckworth
Congresswoman Mary Miller
IL Attorney General Kwame Raoul
Governor J B Pritzker
IL Rep Tom Bennett
IL Sen. Jason Barickman