Natural gas prices: What to expect this winter

LG&E has received approval from the Kentucky Public Service Commission (KPSC) for its quarterly Gas Supply Clause to be effective Nov. 1, 2025, through Jan. 31, 2026. The Gas Supply Component on the natural gas portion of customer bills is adjusted quarterly based on market conditions.

Like other utilities nationwide, LG&E does not profit from the cost of the natural gas it delivers to customers. These costs are passed through on a dollar-for-dollar basis after review and approval by the KPSC.

Across the country — and here in Kentucky — wholesale natural gas prices are expected to be higher this winter than the same time last year. That means many households may see an increase in their monthly natural gas bills. A residential customer using about 6,000 cubic feet of natural gas each month will pay about $86.43 monthly — compared to about $76.41 last year — an increase of roughly 13%.
 

We understand that any increase can have an impact on household budgets. That’s why LG&E works year-round to secure reliable, competitively priced natural gas for our customers.

To help keep bills as manageable as possible, LG&E uses its underground natural gas storage fields by purchasing gas at summer prices, storing it, then withdrawing the gas and delivering it during the winter season, which reduces the amount of gas that must be purchased during the colder months when gas is generally more expensive. This helps shield customers from higher winter prices and keeps overall costs more stable.

Why prices are higher this season

The wholesale natural gas market is influenced by national supply and demand. Some of the factors driving higher prices this winter include:

• Slower growth in U.S. natural gas production expected through 2026.
• Limited expansion of new interstate pipeline infrastructure to deliver gas production to demand areas/markets.
• Higher demand from industrial customers, natural gas-fueled power generation, and facilities that export gas to other countries.

Your bill contains plenty of detailed information including specific breakdowns of your energy usage to an easy-to-read chart showing how your usage compares on a month-to-month and yearly basis. Understanding my residential bill provides explanations of the natural gas charges on your bill.

We know higher costs can be challenging, especially during colder months. LG&E offers programs, partnerships and simple energy-saving ideas to help customers manage their energy use and bills.

Bill payment assistance

LG&E partners with community agencies to help qualifying customers through programs such as Community Winterhelp and other local resources. 

Payment arrangements

Customers who anticipate difficulty paying their bill can set up a payment arrangement through the company’s free mobile app or through My Account.

Energy-saving tips

Find low- and no-cost ways to save energy and money.

Efficiency programs

Explore energy efficiency options that can make a long-term difference at lge-ku.com/save.

Budget payment plan

Spread heating costs into equal monthly payments to make winter budgeting easier.