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18.02.2010

SWG adjusts gas prices as of 1 April

After two price reductions last year and a stable gas price during the severe cold spells, Stadtwerke Gießen is now increasing its natural gas prices as of 1 April 2010. The basic prices will remain the same, only the labour prices for the gas consumed will increase by 0.36 cents gross per kilowatt hour. For district heating, the labour price will rise by 0.48 cents gross per kilowatt hour.

"We have made every effort to keep prices at a low level during the heating period," explained SWG CEO Manfred Siekmann on Friday, 12 February in Giessen. SWG had absorbed the significant rise in gas procurement costs since early summer 2009 due to the oil price indexation at the turn of the year and thus spared its customers price increases in the quarter with the highest consumption. As of 1 April 2010, procurement costs remain at a higher level due to the further slight increase in the oil price. Therefore, according to Siekmann, a price increase is now unavoidable.

New prices: Sample calculations
For an average customer in the basic supply with an annual consumption of 2,500 kilowatt hours who only uses natural gas for cooking, for example, the current adjustment means a price increase of 4.24 per cent or €9.00 per year. A heating gas customer who uses 26,300 kilowatt hours per year will pay 6.52 per cent or 94.68 euros more per year from April.

The price increase will affect district heating customers as follows: For a flat supplied with district heating with a consumption of 7,400 kilowatt hours, there will be an increase of 5.52 per cent or 35.52 euros per year. For customers who require around 22,500 kilowatt hours of district heating per year for their single-family home, the bill will increase by 6.05 per cent or 108 euros per year.

Stadtwerke Gießen will inform its customers of any price changes in writing in good time. SWG employees can answer questions about prices or bills on the service number 0180 22 11 100. Further information on prices and offers can be found on the Internet at www.stadtwerke-giessen.de.

Fixed price coming in spring
Stadtwerke Gießen is planning a favourable fixed price offer for natural gas in spring so that customers are less exposed to the increasing price fluctuations on the gas market in future. This offer, which is limited in scope, promises gas customers a higher degree of planning security for their energy costs.

Who determines the gas price?
The municipal utilities themselves have no influence on the cause of the current natural gas price increase, i.e. the rising purchase price of natural gas. This follows the price of crude oil with a delay of around six months as part of the oil price indexation. The current price trend therefore reflects the increase in the price of oil since early summer 2009, which is now having an impact on the natural gas market.

Keeping costs under control
If you want to counter rising prices by saving energy, Stadtwerke Gießen's energy experts can help. Free advice is available at SWG's infoCentre on the market square in Giessen as well as a wealth of information on the subject of saving energy on the Internet: Saving tips and offers are summarised on the Stadtwerke's specially created Internet portal at www.energiessen.de.

New voice portal for meter readings
In the coming weeks, natural gas customers will receive a personalised meter reading card along with information on the new prices. All customers who wish to read their meter themselves by the deadline of 31 March 2010 can do so using the card. This should then arrive at SWG by 16 April. Customers can also use either the online service at www.stadtwerke-giessen.de as before or the brand new voice portal. From 22 March to 16 April, a voice computer will be taking gas meter readings on 0641 708-2020. Incidentally, district heating customers do not have to worry about meter readings: Their district heating consumption is determined either by calculation or by remote reading.