News Releases

Xcel Energy proposes January natural gas prices

DENVER - Xcel Energy today proposed a decrease in natural gas commodity prices for January 2005 to the Colorado Public Utilities Commission, as part of the company’s monthly cost adjustment designed to help customers better manage their energy use and bills.

The natural gas commodity price for Xcel Energy’s residential and small-business customers in Colorado would decrease by 5 percent in January 2005, to $0.6348 per therm from $0.6654 per therm in December 2004.

January, however, is normally the highest-use month of the heating season for customers. The price decrease would be more than offset by an expected increase in use of 6 percent in January. Typical residential customers could see their bill increase slightly to $127.62 next month, based on consumption of 149.5 therms, compared to $125.50 this month on use of 141.4 therms.

Typical small-business customers are expected to use 8 percent more natural gas next month. Therefore, typical bills would increase to $581.72, based on consumption of 716.5 therms, compared to December 2004 bills of $560.05 and use of 663.4 therms.

Xcel Energy does not profit from the sale of the natural gas commodity. All costs associated with increases or decreases in the commodity price of natural gas are passed along to customers on a dollar-per-dollar basis. If approved, the new prices would take effect Jan. 1.

Lower projected natural gas costs for January 2005 are attributed to a warmer than forecasted start to 2004-2005 heating season. Warmer weather means less natural gas for heating is being consumed and national storage levels remain high. Prices for January 2005, however, will remain at historically high prices.

Xcel Energy encourages customers to explore ways to conserve energy and lower their natural gas bills, by visiting Xcel Energy at www.xcelenergy.com or by calling 1-800-895-4999 for a free copy of “60 Simple Ways to Save Money on Your Energy Bill.” Customers also are encouraged to contact the company for information on “Averaged Monthly Payment.”  Business customers may order a free copy of the “Small Business Guide to Energy Savings” on the company’s website.

Customers may also wish to seek low-income energy assistance by contacting the federal Low-Income Energy Assistance Program (LEAP) or Energy Outreach Colorado (EOC). Call 1-866-HEAT HELP (1-866-432-8435) for further information.