Grand Junction-Next month Excel Energy says it plans to increase natural gas rates by 13% for Colorado customers. In July, the gas commodity rate was 64 cents per therm, but because of higher wholesale costs, the rate is expected to increase to about 73 cents per therm. Because of this rate hike, plus an estimated four% increase in consumption that typically happens with residential gas customers in August.
The average Colorado resident will pay $23.74 for gas next month. This is a 9% increase from July's average bill of $21.74.
Xcel says gas prices are increasing because of high crude oil prices, early tropical storms, reducing gas production and higher temperatures that increased demand.
© KKCO NBC 11 News - All Rights Reserved