Direct Energy customers pay less for natural gas in May

After experiencing a spike in natural gas rates in April, customers of Direct Energy Regulated Services will now get a bit of relief.

After experiencing a spike in natural gas rates in April, customers of Direct Energy Regulated Services will now get a bit of relief.

The energy provider has announced that its customers in Red Deer and north of the city will pay a regulated price of $3.878 per gigajoule next month, down from the April rate of $4.284. This would equate to a typical residential gas bill of $75 for the month, as compared with $69 in May 2010.

Regulated customers south of Red Deer will pay $3.645 per gigajoule, down from $3.850 in April. Direct Energy said this would translate into a $65 gas bill for a typical home. Last May, a typical residential bill was $58.

The May rates are based on a market price of approximately $3.429 per gigajoule on the Canadian natural gas index, plus an adjustment for earlier months. They do not apply to customers who are under contract with suppliers on the competitive market.