Under the company’s request, Atmos customers could expect to pay 10.4 percent more each month, or at least $135 more per year.
________________________________________________
Dallas residents would see their gas rates increase by $11.25 per month on average under a proposed rate hike filed this month by the Atmos gas utility.
Commercial rates also would increase under the proposal — by $38.92, according to Atmos. However, it’s still up to Dallas city representatives and the utility to negotiate a final deal before any rates take effect.
In its January 15 filing, the Dallas-based company claims it needs more money to maintain a safe and reliable system. The company cited more than $321 million in capital expenditures between Oct. 2024 and Sept. 2025, with most of that spending supporting enhanced “safety and reliability of our natural gas system.”
Under the company’s request, Atmos customers could expect to pay 10.4 percent more each month, or at least $135 more per year, according to Dallas chief financial officer Jack Ireland. That increase is more than a separate increase the city negotiated last year, according to a report in the Dallas Morning News.
Atmos annually files a request to redo its rates in Dallas under a specialized “Dallas Area Rate Review” mechanism. Under this year’s request, the company seeks more than $38 million in added revenues. The new Dallas area rates would take effect on June 1.
Rate Analyses
According to information provided by the Dallas Morning News, residential customers in Dallas averaged monthly increases of $7.83 in 2025, $13.69 in 2024, $5.73 in 2023 and $4.17 in 2022.
A separate analysis by the Steering Committee of Cities Served by Atmos, of which Dallas is a member, has indicated that the utility has consistently increased spending across its multi-state system for more than a decade. For instance, the utility’s capital spending in 2025 was more than triple what it was in 2017, according to ACSC’s analysis of the company’s financial reports.
Average bills across its multi-state system also are expected to increase to $121 by 2030 — an increase of more than 50 percent in five years — according to ACSC’s review of company financial reports. Atmos likewise has reported its customers’ bills have increased every year except for one since 2019.
The increased spending and rates also help the utility’s bottom line. The company has delivered more than 41 consecutive years of rising dividends for its shareholders, according to its financial reports.
The Dallas City Council is expected to take final action on the local rate request by May 31. If no agreement is reached, the utility can appeal to the Railroad Commission of Texas for a rate hike.