Indianapolis – Oct. 12, 2022 – CenterPoint Energy is encouraging customers to take action now to help manage natural gas bills for the upcoming heating season. The company's Indiana North natural gas territory today announced customers will likely see an incremental increase in their natural gas bills when compared to those of last winter, assuming normal winter weather, due primarily to natural gas market conditions. The volatility of natural gas prices continues to impact utilities across the state and country, but customers can take advantage of CenterPoint Energy's array of payment assistance options as well as energy-saving tips and energy efficiency programs to help mitigate the impact to bills.
- Expected increase in natural gas bills primarily driven by continued natural gas price surge
- Customers encouraged to prepare now for managing their energy bills
- Company encourages customers to utilize assistance programs, various payment options, energy-saving tips and energy efficiency programs
This year based upon expected natural gas commodity costs and normal winter weather, customers can expect to pay on average $135 a month, over the 5-month heating season of November through March. By comparison, last year's average bill amount for the 5-month period was around $130 a month.
"With the increase in natural gas prices, assuming our region experiences normal weather this heating season, customers should expect an incremental increase in their bills," said Ashley Babcock, Vice President, Indiana and Ohio Gas. "While energy market prices have continued to rise over the last year, offsets such as the completion of the recovery of charges associated with Winter Storm Uri will likely help customers not experience the significant increase of last winter season."
CenterPoint Energy utilities are not allowed to markup, nor profit, from the purchase and sale of natural gas. Natural gas is a commodity bought and sold in a national deregulated market and prices fluctuate daily due to supply and demand pressures.
Only gas costs actually incurred and approved by the Indiana Utility Regulatory Commission are recovered from customers. CenterPoint Energy purchases natural gas on behalf of its customers and then passes those costs on to customers through the gas cost adjustment, which is listed on the bill as "Gas Cost Charge."
Natural gas continues to be the most affordable heating source. In fact, CenterPoint Energy gas customers who heated their homes with natural gas last year saved up to $1,152 compared to those who heat with propane and up to $307 to $1,244 compared to those who heat with an electric heat pump or electric furnace, respectively.
It is important to remember bills will vary by customer depending on the size and age of the home, number of gas appliances, number in the household, thermostat settings and levels of insulation. Customers are encouraged to still implement energy efficiency measures and find ways to use less natural gas to lower bills even further.
CenterPoint Energy has in place several tools to help customers manage their energy bills.
- Energy Assistance Program (EAP): State and federal utility assistance dollars are available for income-eligible customers. Those that fall within 60 percent of state median income should visit their local community action agency to sign up for the EAP. To apply for the EAP, customers should call 1-800-872-0371 to locate their nearest community action agency. Customers may also apply any time at the Indiana Housing and Community Development Authority website at www.EAP.ihcda.in.gov.
- Universal Service Program (USP): All eligible natural gas heating customers who apply and qualify for EAP will automatically be enrolled in the USP, which provides additional gas bill reductions that range from 15 to 32 percent of the total bill received (not including EAP benefits) in the months of December through May. The USP, which has been in place since 2005 is the result of a collaborative effort by CenterPoint Energy, Citizens Energy Group, the Indiana Office of Utility Consumer Counselor, Citizens Action Coalition and a group representing industrial customers.
- Due Date Extension and Payment Arrangement: These are two free offerings which are available to customers in need of a special payment plan on a temporary basis in order to keep service connected and manage energy costs.
- Energy efficiency resources: CenterPoint Energy offers energy efficiency tips, appliance rebates and energy-saving tools to help customers lower their natural gas bills. All Indiana residential and small commercial natural gas customers are eligible. Visit www.centerpointenergy.com/smartsavings or call 1-866-240-8476 for a list of rebates, qualifying appliances and energy efficiency tips.
- Budget Bill: Under this billing plan, a customer's estimated costs for a year of gas service are spread in equal monthly bill amounts for the year. This leveling of monthly bill amounts reduces the need to pay the full amount in the winter and spreads some of those higher bill charges into the non-heating months. Amounts are adjusted each summer for actual costs, and the customer's credit or amount due rolls into the next Budget Bill payment for the next 12-month period. Customers can enroll for free on www.centerpointenergy.com or by calling 1-800-227-1376.
"We recognize the financial hardships our customers may be facing this heating season, and we want to encourage them to contact us for options to assist in managing costs prior to their first high bill of the heating season," said Babcock. "Additionally, customers needing further financial assistance can apply for programs available through our local community action agencies and local non-profits."
Programs and services are operated under the brand CenterPoint Energy by Indiana Gas Company, Inc. d/b/a CenterPoint Energy Indiana North.
CenterPoint Energy's Indiana North territory delivers natural gas to approximately 634,000 customers in Adams, Allen, Bartholomew, Blackford, Boone, Clark, Clay, Clinton, Decatur, Delaware, Fayette, Floyd, Fountain, Grant, Greene, Hamilton, Hancock, Hendricks, Henry, Huntington, Jackson, Jay, Jefferson, Johnson, Lawrence, Madison, Marion, Martin, Miami, Monroe, Montgomery, Morgan, Orange, Owen, Parke, Putnam, Randolph, Rush, Shelby, Tippecanoe, Tipton, Vermillion, Vigo, Wabash, Warren, Wayne, Wells and White counties.
Forward Looking Statement:
This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this news release, the words "anticipate," "believe," "continue," "could," "estimate," "expect," "forecast," "goal," "intend," "may," "objective," "plan," "potential," "predict," "projection," "should," "target," "will" or other similar words are intended to identify forward-looking statements. These forward-looking statements are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release regarding future events, such as the expected prices of natural gas and the subsequent impact on customer bills, assumptions regarding winter weather, and any other statements that are not historical facts are forward-looking statements. Each forward-looking statement contained in this news release speaks only as of the date of this release. Important factors that could cause actual results to differ materially from those indicated by the provided forward-looking information include risks and uncertainties relating to: (1) the impact of disruption to the global supply chain; (2) financial market conditions; (3) general economic conditions; (4) the timing and impact of future regulatory and legislative decisions; (5) effects of competition; (6) weather variations; (7) changes in business plans; and (8) other factors, risks and uncertainties discussed in CenterPoint Energy's Annual Report on Form 10-K for the fiscal year ended December 31, 2021, CenterPoint Energy's Quarterly Reports on Form 10-Q for the quarters ended March 31, 2022 and June 30, 2022 and other reports CenterPoint Energy or its subsidiaries may file from time to time with the Securities and Exchange Commission.
About CenterPoint Energy
As the only investor-owned electric and gas utility based in Texas, CenterPoint Energy, Inc. (NYSE: CNP) is an energy delivery company with electric transmission and distribution, power generation and natural gas distribution operations that serve more than 7 million metered customers in Indiana, Louisiana, Minnesota, Mississippi, Ohio and Texas. As of June 30, 2022, the company owned approximately $35 billion in assets. With approximately 8,900 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years. For more information, visit CenterPointEnergy.com.