Press Release  Department of Public Utilities Approves Reductions to Winter Gas Supply Rates

BOSTON — The Massachusetts Department of Public Utilities (DPU) has approved reductions in gas supply rates for most gas customers across the Commonwealth. On average, the decreases will result in a monthly bill decrease of about 4-5% for a typical residential heating customer.

Beginning on February 1, 2023, customers served by The Berkshire Gas Company, Liberty Utilities, Fitchburg Gas and Electric Light Company d/b/a Unitil, Boston Gas Company d/b/a National Grid, and NSTAR Gas Company d/b/a Eversource Energy can expect lower winter gas supply rates, which will be reflected in the utility bills that customers receive in March. The decreases, which are attributable to changes in the market-based price of natural gas over the course of the winter period, result in a lower gas supply rate.  

“Our administration is focused on reducing costs for Massachusetts residents and businesses,” said Governor Maura Healey. “We are exploring every possible tool to ease burdens, from reductions in energy costs, fuel assistance, nutritional support, and more. With these reduced energy prices, small businesses can grow, and more families will be able to put food on the table and roofs over their heads.” 

“Families and businesses need relief, and our administration is heartened to see a downward trend in natural gas prices,” added Lieutenant Governor Kim Driscoll. “Our team is working with great urgency to push out fuel assistance, improve efficiency, and identify ways to boost financial support for our residents.” 

“This reduction in energy costs comes not a moment too soon for Massachusetts residents struggling to get by,” said Energy & Environmental Affairs Secretary Rebecca Tepper. “But this adjustment is also an important reminder that we need to urgently and equitably transition away from volatile fossil fuels, which continue to threaten the financial security of our communities. The Healey-Driscoll Administration is moving swiftly to build a clean energy future to save costs and support our businesses.” 

“These reductions in winter gas supply rates will offer some much-needed relief to gas ratepayers this winter,” said Department of Public Utilities Acting Chair Cecile Fraser. “We continue to direct the utilities to work with the families and businesses across the Commonwealth through energy efficiency and fuel assistance programs to help alleviate the burdens of energy costs.” 

Under federal law, natural gas is sold in a competitive market. The Massachusetts gas distribution companies are required to purchase gas on their customers’ behalf at the market price and pass that cost on to their customers without profit to the companies. The DPU requires all gas distribution companies to revise their gas supply rates, known as the cost of gas adjustment factor, or “GAF”, whenever the companies will materially over- or under-collect costs from customers. Due to declining natural gas prices in the competitive market, the companies will decrease their GAF for gas consumed between February 1, 2023, and April 30, 2023. Each gas distribution company’s gas supply rates change at least every November 1 and May 1. Customers can shop for their own electric supplier through the DPU’s Energy Switch website: www.energyswitchma.gov.

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