DETROIT, April 13, 2017 /PRNewswire/ -- DTE Energy customers will see the cost of natural gas drop in their April gas bills nearly 9 percent, due to the downward trend of natural gas prices. The company passes any savings it realizes on natural gas costs directly to its customers.
DTE Energy lowered the gas rate – the market price it pays for the natural gas its customers use – by 8.8 percent effective April 1 to $3.23 per thousand cubic feet from $3.54, generating savings for both business and residential customers.
Natural gas prices have fallen steadily since 2008 as domestic production increased from newfound sources, and DTE's efforts to store natural gas when prices are at their lowest has allowed the company to keep rates low and stable even during high usage months over the winter.
Over the last 10 years, residential customers' overall natural gas bills have dropped by 27 percent, or about $300 annually, as the cost for the natural gas DTE buys has declined. During that 10-year period, DTE Gas customers have seen declines in natural gas cost every year except a slight uptick in 2014 caused by the polar vortex.
"We take pride in purchase strategies that effectively manage the price our customers pay," said Mark Stiers, DTE Gas president and chief operating officer. "We charge customers only the price we pay for gas, and when those costs are lowered, we pass those savings on to our customers."
This season's gas energy costs were roughly comparable to the 2015-2016 winter season, although slightly increased because of weather. However, when compared to typical winter weather, bills for the season were lower. Even though the winter heating season is nearing its end, residential and business customers will continue to save when they use their gas appliances and equipment.
Customers can find the cost of gas on their bills under the Gas Cost Recovery (GCR) line item.
DTE uses Michigan's unique geology to purchase large quantities of natural gas and store it underground until it is needed, allowing the company to avoid purchasing gas at higher rates during the winter when demand is at its peak.
DTE natural gas customers' bills are reflective of three key variables – the cost of the natural gas used by customers, the amount of natural gas used and the severity of the weather, which impacts energy use.
"We continuously work to make our operations more efficient in an effort to keep energy affordable for our customers," Stiers said. "Our customers can also better manage their energy bills by saving energy through a number of our low- and no-cost energy-efficiency tips."
Customers can find more information on how to save energy by going to dteenergy.com/saveenergy. To better understand the components of your bill, watch our new animated bill video at bit.ly/ReadABill.
About DTE Energy
DTE Energy (NYSE: DTE) is a Detroit-based diversified energy company involved in the development and management of energy-related businesses and services nationwide. Its operating units include an electric utility serving 2.2 million customers in Southeastern Michigan and a natural gas utility serving 1.3 million customers in Michigan. The DTE Energy portfolio includes non-utility energy businesses focused on power and industrial projects, natural gas pipelines, gathering and storage, and energy marketing and trading. As one of Michigan's leading corporate citizens, DTE Energy is a force for growth and prosperity in the 450 Michigan communities it serves in a variety of ways, including philanthropy, volunteerism and economic progress. Information about DTE Energy is available at dteenergy.com, twitter.com/dte_energy and facebook.com/dteenergy.
SOURCE DTE Energy