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Union Gas bills expected to rise in January 2015

CBC News Posted: Dec 22, 2014 4:10 PM ETLast Updated: Dec 22, 2014 4:10 PM ET


Union Gas customers throughout Ontario are going to be paying more for natural gas in the new year.

The Ontario Energy Board has approved a rate hike of four per cent, which means an average increase of between $43 and $64 a year in northwestern Ontario.

The rate hike will pay for increases in the cost of gas and for natural gas transportation services, but Union Gas says the bulk of the increase is going to Trans Canada Pipelines to transport natural gas along its pipeline system from Alberta into Ontario.

This increase, which will go into effect on Jan. 1, 2015, follows a decrease of about $50 per year in October, Union Gas stated in a recent press release.

“It’s important to put these rate changes into context,”said Steve Baker, president of Union Gas.

“Due to plentiful new supplies, the price our customers pay for natural gas has steadily declined and is lower today than it was 10 years ago.”