Natural gas drops below $6 per million cubic feet today

Back in February, I posted an entry criticizing Centerpoint, who was in the news for breaking a promise to cut rates because of a cold snap. Specifically, I questioned whether it made sense to purchase natural gas in the summer when it is cheaper.

Assuming that is the case, the rate cuts would already be there in the event we have a cold snap (or a bitterly-cold winter). If utility companies don't purchase gas in the summer, it doesn't seem to mesh with common business sense unless they figure that consumers won't notice that the added expense is passed on to them. Again, I may be wrong, and if so, I hope that someone will educate me.

Thanks to a tip from a constituent today, I see that natural gas is trading at an annual low. Now is the time for our natural gas utility companies to stock up for distribution to its customers.