tamatoledonews.com (SPECIAL) – Nationally, demand for natural gas continues to be moderate and with an above-average supply in storage there should be adequate levels of natural gas to meet peak demand requirements this winter heating season. As we push further into the fall, the hurricane season is winding down and along with it is the threat of storm-related supply disruptions. The quiet hurricane season coming to an end combined with strong onshore production and cooler weather curbing demand from power generators should mean a quiet start to the winter heating season.

Nationally, storage levels remain above the five year average, but a little below last year’s record levels. The Energy Information Administration (EIA) expects storage levels by the end of October to be just three percent below last year’s level, which would still be the second highest underground storage level on record for October.

While the EIA is projecting winter heating costs for natural gas customers in the Midwest to increase 4-6 percent, IPL expects the average residential natural gas customer to see winter heating costs stay flat compared to last year – $620 for the six month period from Oct. 1 through March 31. Our forecast is based on the current market, the percentage of gas costs that are now fixed (between storage and locked-in contract prices) and normal winter weather.

Source: American Gas Association, National Weather Service, U.S. Energy Information Administration

Interstate Power and Light Company – an Alliant Energy Company, is committed to providing our media partners with up-to-date and useful information about natural gas. Our goal is to provide you with monthly information that will help you inform your readers, viewers and listeners about natural gas prices.

Each month through April 2011, the Natural Gas Update will provide you with the latest details about natural gas prices and new ways we’re working to help our customers reduce their heating costs