logo
    • News
    • Classifieds
    • Free Subscription
    • Book Store
    • Submit
      • Submit a Classified Ad
      • Submit an Educational Announcement
      • Submit a letter to The Editor
    • Past Issues
    • Regional Trade Shows
    • Contact
    • News
    • Classifieds
    • Free Subscription
    • Book Store
    • Submit
      • Submit a Classified Ad
      • Submit an Educational Announcement
      • Submit a letter to The Editor
    • Past Issues
    • Regional Trade Shows
    • Contact
Natural gas price spike in California
News
February 14, 2023
Natural gas price spike in California
The price of nat gas up by 300 percent for So. Ca. in January — high demand, low supply, poor maintenance

By Marcelle Dibrell

California residents may want to avoid using their spas for a while.

That’s because in January the price of natural gas spiked by 300 percent for large parts of Southern California and about 80 percent in much of the northern part of the state. And given that your average 400,000-Btu gas heater burns through 4 therms an hour, few are going to want to pay for the luxury.

Many residents opening their January bills were horrified to see the unexpected increase.

The situation is so appalling that Governor Gavin Newsom has called for a federal investigation into the natural gas price spike.

In a February 6 letter to the federal agency responsible for regulating wholesale natural gas, the Federal Energy Regulatory Commission (FERC), the governor requested that the agency “immediately focus its investigatory resources on assessing whether market manipulation, anticompetitive behavior, or other anomalous activities are driving these ongoing elevated prices in the western gas markets.”

Meanwhile, in response to the spike, on February 6, the California Public Utilities Commission voted to accelerate the California Climate Credit to help residents with high gas bills. Utility customers typically see these credits in April but instead received their credits of roughly $90 to $120 in February.

Governor Newsom says that’s not enough.

“We know this provides only temporary relief from soaring bills,” Newsom stated in a press release. “That’s why I’m asking the federal government to use its full authority to investigate the spike in natural gas prices and take any necessary enforcement actions. We’re going to get to the bottom of this because Californians deserve to know what’s behind these exorbitant bills.”

According to the U.S. Energy Information Agency, a number of factors have contributed to the dramatic increase: below-normal temperatures; high gas use; lower imports of natural gas from Canada; gas pipeline constraints, including maintenance issues in West Texas; and lower gas storage levels in the Pacific region.

Those statements were echoed in a letter sent to customers by the Southern California Gas Company on January 31 promising that a 68-percent decrease in rates may be expected for February, compared to January.

However, these answers don’t satisfy many California residents, and especially as the January price of natural gas on a nationwide basis tumbled to its lowest level since April 2021, according to a January 26 article appearing in the Wall Street Journal.

Not to mention the fact that SoCalGas customers will still be looking at a February bill that is 232-percent higher than it was last year.

The governor isn’t satisfied by those answers either.

In his letter to federal regulators, Newsom wrote, “those known factors cannot explain the extent and longevity of the price spike.”

A spokesperson for FERC said that the agency had received his letter and plans to review it.

LATEST NEWS
KC Hot Tub Repair in the news
News
KC Hot Tub Repair in the news
March 14, 2023
Rick Harvey, and his company KC Hot Tub Repair, is giving the pool service industry a bad name. The Kansas City business owner seems to have one real ...
this is a test
73 complaints for Florida’s Legacy Pools
News
73 complaints for Florida’s Legacy Pools
March 14, 2023
Patrick Lee, a homeowner in Cocoa Beach, Florida, said he paid $92,276 to Legacy Pools for a new swimming pool that was never completed. He made the p...
this is a test
Colorado swim team needs a lap pool
News
Colorado swim team needs a lap pool
March 14, 2023
The high school swim team in Steamboat Springs, about 150 miles northwest of Denver, is hoping that someone can donate them a lap pool. That’s because...
this is a test
CPSA Alert: Calif. legislative session begins
News
CPSA Alert: Calif. legislative session begins
March 14, 2023
California’s new 2023-‘24 legislative session is underway. About 300 bills have been introduced thus far, with another 2,000 expected by the February ...
this is a test
Concrete forming systems for building  swimming pools
News
Concrete forming systems for building swimming pools
March 14, 2023
By Frank Wall The surge in demand for pools and the resulting shortage of materials has led many builders to re-evaluate how they build their pools to...
this is a test
News
‘NOT ON MY WATCH’
Drowning matters every day, not just every May
March 14, 2023
Drowning injuries and fatalities are so commonplace that the stories could fill up whole newspapers. The CDC estimates that about 10 people die from d...
this is a test
Read Our Newsletter
ePaper
coogle_play
app_store
Free Subscription
View Current Print Ads
Educational Announcements
Aquatic Training Institute

Educational Leverage

Foundation For Pool Industry Education

Locey Pool

Pool Chemistry Training Institute

Pool & Hot Tub Alliance

Portofino University

Underwater Pool Masters
Trade Show Dates
  • The Pool and Spa Show
    Jan. 24-26, Atlantic City, New Jersey
  • 34th Annual National Plasterers Conference
    Feb. 8-10, Coronado, California
  • The Southwest Pool and Spa Show
    Feb. 9-11, Houston, Texas
  • The Western Pool and Spa Show
    Mar. 23-25, Long Beach, California
Books to Order
About Us Terms of Use Privacy Policy
We use cookies to ensure that our website gives you the best experience possible. By continuing to use this website, you agree to this use of cookies.OK