DENVER (Jan. 23, 2026) — As cold weather across a significant portion of the U.S. increases demand for natural gas, Xcel Energy would like its customers to be aware of a short-term increase in the price of wholesale natural gas the company purchases from its suppliers.  

Xcel Energy passes along the wholesale cost of natural gas to its customers, and it does not make a profit on it. Customer bill impacts from the higher natural gas prices over the next few days are not expected to be significant and will add less than a dollar per month to the average residential customer’s bill over the coming year.

While we have taken steps to mitigate the impacts to customer bills from the higher natural gas prices, customers may want to consider conserving energy for the next few days. 

Xcel Energy purchases natural gas to deliver to its customers and to use to generate electricity. Cold weather across a large section of the U.S. is affecting production of and demand for natural gas, which leads to higher wholesale prices. The increase in wholesale prices is significantly smaller than the increase experienced several years ago during Winter Storm Uri. 

Xcel Energy works hard to keep costs low for customers, leading to natural gas rates that are among the lowest in the nation, remaining 27% below the national average since 2015. Average natural gas bills that have been about 18% below the national and state averages over the last decade. Customers’ natural gas bills so far this winter have been lower than last winter, with the milder weather. 

The biggest step customers can take to conserve is by lowering their thermostats a few degrees, if they have a natural gas furnace. Savings tips include: 

  • Lower your thermostat - During winter months, set the thermostat between 65-70 degrees while you're home, and 58 degrees when you're away. A programmable thermostat automatically adjusts the temperature based on your routine and could help you save on heating costs. 
  • Let the sunlight in and keep the cold out - Open blinds to take advantage of the sun's warmth during the day but close them at night to insulate against the cold air outside. 
  • Make sure exterior doors are fully closed - A major source of a home’s heat loss is from exterior doors that are left cracked open or not latched. 
  • Use fans to your advantage - During colder months, run ceiling fans clockwise, so the warm air near the ceiling is forced down. 
  • Keep your oven's heat where it belongs - Use your oven light or timer to avoid opening it often while you cook; each time the door is opened even for just a few seconds, the temperature drops 25 degrees. 
  • Lower your water heater's temperature or insulate it - By lowering your water heater’s temperature 10 degrees, you can save 3-5% on your water heating costs; be sure to keep it at least 120 degrees. You can also insulate it to maximize efficiency. 
  • Keep filters clean - Dirty furnace filters reduce airflow, requiring your furnace to work harder and use more energy. Change the filter once a month during the winter to reduce your heating costs by 5-15%. 
  • Don't let the heat escape - Affordable window sealing kits can be found in most local home improvement stores and can help you save. Have your home evaluated for leaky ducts, drafts around doors and windows, fireplace dampers and other places where air might escape. 
  • Improve insulation - Improving the insulation of walls, crawl spaces, floors and heating ducts is one of the fastest and most cost-effective ways to reduce energy costs, saving you up to 10% on your monthly energy bill. 

More information on ways to save energy can be found on the Energy Saving Tips page at xcelenergy.com. While natural gas price increases primarily affect the bills of natural gas customers, the company also purchases natural gas to generate electricity, so electric customers may see some savings by conserving as well. 

Xcel Energy takes many steps to minimize the impact of natural gas price fluctuations on customer bills, including purchasing and storing a portion of its expected natural gas needs for the winter heating season before winter, when prices are lower. For the company’s electric service, it uses a broad range of electricity sources to help minimize the effect of natural gas price increases on electric bills. 

Xcel Energy will always work with customers to provide options such as payment plans and assistance programs to get them through difficult times. If you’re facing challenges paying your energy bills, you are encouraged to contact Xcel Energy to set up a payment arrangement or learn more about assistance options that may be available. Learn more by visiting xcelenergy.com/EnergyAssistance or by calling 1-800-895-4999. You can also enroll in the Averaged Monthly Payment program to help make your monthly energy bills more predictable. 

As an important safety reminder, if customers ever detect a sulfur or rotten egg smell inside or near their home, it could be the odorant that Xcel Energy puts in natural gas to help detect leaks. If they notice that smell, customers should leave home immediately and should not turn any electrical devices on or off, use a garage door opener, or use any phone until they are outside and away. Once outside, they should call Xcel Energy at 1-800-895-2999. In a life-threatening emergency, call 911.  

# # #

About Xcel Energy

Xcel Energy (NASDAQ: XEL) is a leading energy provider, dedicated to serving millions of customers with excellence. We make energy work better for customers, helping them thrive every day. That means always raising the bar — delivering better service and providing more reliable, resilient and sustainable energy. We are committed to leading the clean energy transition, meeting our customers’ need for more, cleaner power, while keeping bills as low as possible. Because the people we serve depend on us to power their lives. Headquartered in Minneapolis, we work every day to generate and distribute electricity and gas to customers across eight states: Minnesota, Colorado, Wisconsin, Michigan, North Dakota, South Dakota, New Mexico, and Texas. For more information, visit xcelenergy.com or follow us on X and Facebook.