Lower Natural Gas Bills Expected This Winter

[sabra]

Source: Reuters

U.S. consumers are expected to pay lower natural gas bills this winter compared with last year due to above-normal gas supplies and cheaper energy prices, the American Gas Association said on Monday.

"Plentiful domestic natural gas supplies and lower wellhead prices will drive bills down this winter and provide relief for natural gas customers struggling in a trouble economy," the AGA said in its annual winter outlook.

Natural gas inventories are forecast to hit record levels on Nov. 1, which is the start of the U.S. heating season.

Utilities built up most of those stocks with gas that was much cheaper that last year.

Gas prices have been lower this year thanks to the U.S. recession, which reduced gas demand in 2009 from the industrial sector by 6.4 percent through September. At the same time domestic gas production has been strong, boosting available supplies that helped keep prices down.

Read more: http://www.cnbc.com/id/33176138