Pennsylvania natural gas prices have spiked to their highest level in the last decade.
A recent report from the Independent Fiscal Office shows natural gas prices hit an average of $4.10 per million British thermal units in the first three months of 2022.
That’s a 62 percent jump from the same time last year, when prices averaged $2.53 per MMBtu.
Prices averaged $3.97 per unit in the last quarter of 2021.
Pennsylvania continues to produce more gas year-over-year, but its rate of growth is slowing compared to before the COVID-19 pandemic.
The IFO report shows production declined half a percent compared to the first quarter of 2021.
The agency noted the increase in producing wells has dropped to its lowest rate in the last decade. It said, without a significant increase in new drilling, the number of active wells could stagnate.
The IFO expects prices to stay on the upswing because of global pressures.
The high price of gas can affect utility bills.
Gas power plants make up about half of Pennsylvania’s electricity generation.
Utility providers across the state increased rates this month.
This story is produced in partnership with StateImpact Pennsylvania, a collaboration among WESA, The Allegheny Front, WITF and WHYY.
