Energy Outlook Information
Starting November 2025, residential natural gas customers will see an average increase of $XX on their bills. This increase is due to several factors listed below:
Percent Increase | Monthly | Annually | |
KUB Rate Increase | 3% | $4 per month | $48 annually |
Firm Transportation | 10% | $50 per month | $600 annually |
LNG | 15% | $50 | $600 |
Natural Gas Pipeline Rate Increase
In 2025, East Tennessee Natural Gas (ETNG) pipeline, owned by Enbridge, Inc., filed for a rate increase with the Federal Energy Regulatory Commission (FERC). Enbridge, Inc. is KUB's largest natural gas supplier.
The pipeline has filed for rate increases as follows:
- Firm Transportion XXX percent
- LNG - Emergency peaking storage XXX percent
The estimated annual impact to KUB is $XX million.
As a not-for-profit utility, KUB passes 100 percent of supplier rate changes on to its customers. All changes in wholesale costs, whether for pipeline costs or wholesale natural gas cost, are passed to customers through the Purchased Gas Adjustment mechanism (PGA). This also means when suppliers lower their rates, customers will also see lower rates.
Residential
Preliminary estimates indicate the impact on KUB natural gas customer bills will be on average $XX higher per month.
Commercial
Preliminary estimates indicate the following ranges for commercial natural gas customers:
- Commercial G4 customers can expect an increase of x% to x% on their bill.
- Commercial G6 customers can expect an increase of x% to x% on their bill.
- Commercial G7 customers can expect an increase of x% to x% on their bill.
- Commercial G11 customers can expect an increase of x% to x% on their bill.
Winter Outlook
Weather can have a large effect on customers' energy consumption.
As East Tennessee moves closer to winter, KUB strives to inform customers on what to expect this year.
Historical data can provide a good starting point for consumption estimates.
In 2024, the average residential natural gas customer consumption was XX dekatherms. This means the average residential natural gas customer bill was $XX. The average residential electric customer consumption was XXX kilowatt-hours with an average bill of $XX.
Consider linking to the board presentation for weather outlook for weather, outlook, and market prices
KUB Energy Rate Changes
In 2024, KUB's Board of Commissioners approved a 3 percent rate increase on KUB's natural gas rates.
A typical residential natural gas customer can expect a monthly impact of $1.95.
In 2024, KUB's Board of Commissioners approved a 3 percent rate increase on KUB's electric rates. This rate increase is set to go into effect in April 2026.
A typical residential electric customer can expect a monthly impact of $3.85.
Funding for KUB’s systems comes from local ratepayers and the use of debt to spread costs out long-term for both current and future ratepayers. This includes funding for KUB's Century II infrastructure replacement and maintenance program to ensure safe, reliable utilities. Customers can learn more about Century II here.
Savings and Assistance Resources
Minimize seasonal usage spikes with Levelized Billing! Customers can learn more here.
As part of KUB’s commitment to its customers, KUB provides energy savings tips and resources for customers who may have difficulty paying their utility bill. Resources can be found here.