(Osgood, IN) — Natural gas customers in should expect higher bills in January and February due to temporary price spikes caused by extreme cold weather that triggered emergency pipeline operations across the region, according to Osgood Gas Superintendent Steve Whilhoit.
“During extended periods of extreme cold, natural gas demand increases significantly across homes, businesses, and power generation,” Whilhoit said. “To meet this demand, interstate pipelines may operate under emergency conditions. When this happens, natural gas supply becomes more limited, and market prices increase for a short period of time.”
The price increases affected natural gas utilities throughout the region, not just Osgood, as prolonged frigid temperatures strained the natural gas delivery system. When temperatures plummet, households increase heating usage while power plants also consume more natural gas to generate electricity for heating needs, creating a surge in demand.
Interstate pipelines, which transport natural gas across state lines, can declare emergency operations when system capacity is stretched. These declarations allow pipeline operators to take extraordinary measures to maintain service reliability, but often result in higher costs for the natural gas being transported.
“The good news is that Osgood Gas has not incurred any pipeline penalties, and we continue to closely monitor daily gas purchases, supplier notices, and market conditions,” Whilhoit said. “As weather improves, natural gas prices are expected to stabilize.”
Whilhoit emphasized that the utility’s priority remains customer service and fiscal responsibility.
“We understand that energy costs are an important concern,” he said. “Our goal is to operate safely, manage costs responsibly, and keep our customers informed.”
Customers with questions about their natural gas bills can contact the Osgood Gas Department at 812-689-4211 or visit the office at 514 Buckeye Street.
