Most FortisBC customers will see their natural gas rates go up starting April 1, the utility said Friday.
Residential customers in northern B.C. will pay $4.64 per gigagoule for the fuel itself, a $1.368 increase from the current rate.
Customer Choice program participants will not be affected by changes to the commodity rate.
"North America markets have experienced some of the coldest weather in over a decade this past winter, resulting in significant drawdown of natural gas storage inventory levels and upward pressure on commodity prices," said Cynthia Des Brisay, vice-president of energy supply and resource development.
"The market outlook indicates that natural gas prices may return to lower levels once natural gas
inventories are replenished. This could result in a reduction to commodity rates before the winter heating season."
Every three months, FortisBC reviews natural gas and propane commodity rates with the B.C. Utilities Commission in order to make sure rates passed on to customers cover the cost of purchasing the gas and propane on their behalf.
"Despite this increase, natural gas customers will still be benefitting from a commodity rate that is less than half the rate experienced when the market hit its highs in July 2008," added Des Brisay.
"Natural gas supply in North America and B.C. remains healthy, particularly due to advances in technology that have reduced production costs and unlocked the potential of new supply basins. Because of this, the long-term outlook is for natural gas prices to remain below the levels seen only a few years ago."
