In fact, November temperatures were not at all similar for 2020 and 2021.
Utilities often use measurements known as heating degree days (HDD) and cooling degree days (CDD) to estimate demand. HDD reflects the number of degrees the average daily temperature drops below 65. As of November 2021, the cumulative HDD was 330. This was a 40% decrease from the 555 recorded in November 2020.
But with a hard drive total of 187 in October, there was a 76% month-over-month increase in November.
PNG said the tariff increase, which was approved by the NC Public Utilities Commission, was needed to cover rising natural gas costs and to pay for infrastructure improvements.
“We recognize that we are still going through difficult economic times and that the rate increases, combined with the approach of cold and higher natural gas prices, are creating additional difficulties for some customers,” said Sasha Weintraub, vice-president. Senior President of Piedmont Natural Gas.
PNG purchases natural gas and passes the cost directly on to customers. Rate adjustments help the company keep pace with volatile prices.
“Natural gas market prices are higher due to the economic recovery due to strong demand for natural gas last winter, as well as slower than expected production this year,” said Richard Meyer, vice president of energy markets, analysis and standards at the American Gas Association. “However, the US natural gas market remains well supplied and is ready to serve customers through the winter. Weather and the market can impact utility bills, and consumer conservation can help. to reduce the impact on invoices. “