Gas company Atmos Energy wants to increase its rates again this year, potentially boosting monthly bills by $11 for the average Dallas resident.
The company’s request now goes to the Dallas City Council for approval, setting off negotiations between city officials and Atmos before deciding the final rate.
The Dallas-based company says it’s raising its prices to keep up with the costs of providing “safe and reliable” service, per its filing to the city. It invested more than $321 million within city limits between Oct. 2024 and Sept. 2025, with a majority of the investment going “to enhance the safety and reliability of our natural gas system.”
Under its initial request, Atmos customers could expect to pay at least $135 more per year, Jack Ireland, the city’s chief financial officer, said in a memo, which is higher than the rate the city negotiated last year.
Political Points
Atmos annually files a request to redo its rates, and has previously cited infrastructure improvements as a reason for increasing costs. This year, the gas company requested an increase of $38 million.
The new rates wouldn’t take effect until June 1. City officials have typically denied Atmos’ initial rate requests since at least 2019, later negotiating lower amounts through settlements.
Residential customers averaged monthly increases of $7.83 in 2025, $13.69 in 2024, $5.73 in 2023 and $4.17 in 2022. The City Council’s finance committee will discuss the rate hike in its May 26 meeting and the City Council is expected to vote on the rate the next day.