Understanding Pennsylvania’s Natural Gas Market & Suppliers
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Choosing among natural gas suppliers in PA isn’t always easy. It is a competitive retail market with several providers, each with different roles. Prices can change quickly, depending on market factors. PA natural gas suppliers also offer a variety of plans, making the long-term budget difficult to calculate.
This article will help you find your way through the complexities of natural gas choice in PA. You will get a solid understanding of how the natural gas market works, who the main natural gas providers in PA are and how to choose the PA gas company and plan that is right for you.
What does the Pennsylvania Public Utility Commission do?
The Pennsylvania Public Utility Commission (PUC) is the state’s natural gas market regulator. Its mission is to protect consumers, ensure a fair market and promote reliable service. It also plays a role in natural gas pipeline, equipment and facility safety, by enforcing federal laws.
This organization licenses gas companies in PA and monitors their operations. It approves rates for natural gas distribution, making sure they are transparent and justified. It promotes competition among natural gas providers in PA, while protecting against market abuses. It is also your educational resource and advocate in the marketplace.
The PUC also created the Office of Competitive Market Oversight (OCMO) to resolve disputes that arise between PA gas suppliers and utilities.
Pennsylvania Natural Gas Distribution Companies (NGDCs)
The next group of players are the Pennsylvania natural gas distribution companies (NGDCs). These are the local utility companies, or distribution companies, that bring natural gas to business and residential customers, charging you a distribution fee and selling the gas at cost.
While they typically don’t produce natural gas, they do operate the pipelines and storage facilities needed to bring it to you. They buy natural gas from intrastate pipelines, meter its flow and bill customers for the cost of distribution.
The major natural gas distribution companies in PA are:
- Columbia Gas of PA, Inc.
- National Fuel Gas
- PECO Gas
- Peoples Natural Gas
- Philadelphia Gas Works
- UGI Utilities
- UGI Central Penn Gas
- UGI Penn Natural Gas
- Valley Energy, Inc.
Pennsylvania Natural Gas Suppliers (NGSs)
Natural gas suppliers (NGSs) in Pennsylvania play a different role from the NGDC utilities. NGSs compete against each other to sell natural gas to customers.
NGSs use their buying power to negotiate the best prices on natural gas. While they may buy from the local natural gas utility companies described above, they may find better prices from sources outside of Pennsylvania.
Natural gas suppliers in PA pass the savings on to customers—residential or business natural gas users. They also offer pricing plans, terms and other products to bring you choices and options that best suit your situation and win your business. By competing for your business, NGSs in Pennsylvania play a critical role in offering you improved terms, better customer service and sometimes better prices.
Constellation is one of the PA natural gas suppliers offering you competitive terms in the market. You can protect yourself from price spikes with a fixed supply rate natural gas plan. Constellation also offers incentives and rewards, along with dedicated and professional customer service.
While the PUC does not directly regulate NGSs, they do set standards for market capitalization and financial conditions, along with technical and management requirements, as part of their role in licensing PA natural gas suppliers. Constellation has been a licensed gas company in Pennsylvania for more than two decades.
What You Should Know About Pennsylvania Natural Gas Prices
The average residential cost of natural gas in Pennsylvania is $23.99 per thousand cubic feet. You are more likely to be billed by therm, which was $1.613 per therm as of September 2025.
Prices can vary across the state. They can also vary by time of year. Severe cold weather in winter may drive up prices.
When looking at your bill, you should see the amount you are charged for the natural gas used, typically by therm, but sometimes by centers per 100 cubic feet (CCF) or by 1,000 cubic feet (MCF). You should also see a gas procurement charge, which covers utility administrative costs and sometimes a merchant function charge covering the utility’s uncollectible accounts.
Pennsylvania Natural Gas FAQs
Can I choose my natural gas supplier in PA?
As a business owner or resident, you have a choice of natural gas suppliers in PA. NGSs compete on price, terms and customer service to win your business. Explore energy plan options in Pennsylvania with Constellation.
How do I select a PA natural gas supplier?
The first step in selecting among natural gas suppliers in PA is to find out which companies serve your area. The second step is to identify the plans and terms that these companies offer. Compare the plans and evaluate the reputation of the companies before selecting the offer that makes the best sense for your situation. The Pennsylvania Public Utility offers help for choosing a residential plan or one for your small business. Explore the Constellation energy plans available in your area.