INDIANAPOLIS — Citizens Energy Group is preparing its customers for a rate hike that's projected to cost people an average of $90 over the next five months. This news comes a little over a month after AES Indiana announced a "fuel adjustment charge" on utility bills.
Citizens, which services about 900,000 people in the Indianapolis area, said it expects natural gas heating bills to increase an average of about $18 per month for the five-month winter heating season.
Assuming temperatures are normal, Citizens estimates that the total average natural gas bill for the November through March heating season will be about $555, compared to $465 last winter.
The company said that the war in Ukraine is partially to blame for the rising cost of utilities.
Natural gas prices have been surging since Russia invaded Ukraine. The company said that the gradual restriction of natural gas supplies and increased global demand have resulted in natural gas prices more than doubling since last fall.
So what about AES Indiana? Well, if you're a customer with both AES and Citizens, this winter is going to be a double whammy.
"The cost to provide reliable service to our customers is increasing and is driven by the rising market cost of fuel. Global demand and tight fuel supplies, as well as labor shortages, are also impacting the cost of the power we produce," a spokesperson for AES told 13News.
AES told 13News that customers should expect their bills to temporarily go up by about 12%.
The company said it's not something they are making money on. According to AES, natural gas and coal prices have gone up substantially over the past year, and the price hikes are related to those increases.
Where to get help
Citizens says Marion County residents who need help paying their utility bill should see if they're eligible for the Indiana Energy Assistance Program (EAP).
"We want customers to be safe and warm this winter and if they need help don't be afraid to reach out to us," said Daniel Considine with Citizens Energy.
Customers who qualify for EAP will automatically receive an up to 25% discount on their gas bill. People eligible for EAP can also qualify for Citizens' Low-Income Customer Assistance Program, which helps lower wastewater bills.
Considine said there are also other options to reduce your utility bill.
"One of the easiest things you can do is dial down your thermostat, especially when you're not home or when you go to bed at night, so if you do a 10-degree reduction for an 8-hour period you'll save about 10% on your heating bill," said Considine.
The company urged any customers falling behind on their bill to call Citizens at 317-924-3311.
How can customers save on their bills? AES has these resources for making sure your home is the most energy efficient it can be, and other tips on ways to save.