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MichCon Lowers Price of Natural Gas

PRNewswire
DETROIT
(:DTE)

DETROIT, Dec. 27 /PRNewswire/ -- MichCon, DTE Energy's natural gas utility, will ring in the New Year with a rate reduction for its 1.2 million customers across the state.

The company announced today that it will drop the price of natural gas from $7.50 per thousand cubic feet (Mcf) to $7.00 per Mcf, effective Jan. 1. For a typical residential customer, the price decrease will result in a savings of about $35 over the remainder of the heating season.

"With winter's coldest months still ahead of us, we're extremely happy to be able to reduce our natural gas price and pass the savings on to our customers," said Jerry Norcia, president and chief operating officer of MichCon.

MichCon was able to reduce its natural gas rate -- called the Gas Cost Recovery factor -- because wholesale gas prices have fallen recently, and because the company entered the heating season with a significant supply of natural gas already in storage.

"Because we're able to store large quantities of natural gas, we can take advantage of seasonal pricing, and acquire gas when demand is down and prices are lower," Norcia said.

Even with the price reduction, MichCon recognizes that heating bills still may be a challenge for some customers -- particularly senior citizens and households with limited incomes. The company offers a number of programs to help customers manage their energy bills, and also can assist customers who may need financial assistance.

"With Michigan's tough economy, we are committed to working with our customers to help them keep the heat on this winter," Norcia said. "Customers who think they may have difficulty paying their energy bill should call DTE Energy at (800) 477-4747."

SOURCE: MichCon

CONTACT: Len Singer, +1-313-235-8809, or Scott Simons, +1-313-235-8808,
both for MichCon

Web site: http://www.dteenergy.com/