In The News

Fitch Upgrades Philadelphia Gas Works’ Bond Rating to ‘A’

This upgrade is the first time in the company’s 189-year history all three rating agencies have rated its bonds in the ‘A’ category.

PHILADELPHIA (September 3, 2025) – At the close of PGW’s fiscal year, Fitch Ratings upgraded its rating on Philadelphia Gas Works Revenue Bonds to ‘A’ from ‘A-’ and assigned a Stable outlook. This is the second Philadelphia Gas Works (PGW) upgrade by Fitch in two years, and PGW now has its highest ever combination of credit ratings.

PGW’s bonds are now rated in the ‘A’ category by all three rating agencies. In addition to the Fitch ‘A’ rating, Moody’s Investors Service and Standard & Poor’s Global Ratings maintain Stable outlooks and ratings of ‘A3’ and ‘A’, respectively on PGW’s outstanding bonds. In general, higher credit ratings can result in lower borrowing costs as investors view those securities as less risky.

Fitch cited PGW’s “sustained strong financial performance”, sufficient liquidity, and effective management in its rating report.  Fitch noted that PGW effectively manages distribution, and supply costs and uses flexible and revenue-neutral rate mechanisms to respond to lower demand and stabilize its finances when needed

The upgrade further reflects rate relief that PGW is expected to receive beginning in FY 2026. PGW recently filed a $62 million Joint Petition for Settlement in its base rate case. The settlement and related Administrative Law Judge recommendation will be reviewed by the PUC in November.

“We appreciate the confidence Fitch has demonstrated in PGW by increasing our bond rating outlook from ‘A-’   to ‘A’,” said Seth Shapiro, President & CEO, PGW.  “The rating upgrade is an encouraging endorsement of PGW’s leadership team performance and the dedicated service of our entire workforce. PGW’s ability to constantly improve our operational excellence and grow revenue directly benefits our customers,” he said.

The ratings agency also credited PGW’s “strong revenue source characteristics and a stable demand profile, including a stable service territory with improving economic and demographic indicators.”

“The recent upgrade to ‘A’ is a major accomplishment and a testament to the continued hard work of PGW’s management team,” said City Treasurer Jacqueline Dunn regarding the Fitch action.

There are approximately $1.1 billion of outstanding gas works revenue bonds (Senior 1998 general ordinance) that are secured by the revenues of PGW in addition to a debt service reserve fund.

Read the full rating report HERE.

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PGW Offers Free Energy Saving Kits to Customers

PHILADELPHIA (September 3, 2025) – Philadelphia Gas Works (PGW) is offering free Energy Saving Kits to customers as part of its ongoing commitment to energy affordability and sustainability. PGW has three different kits to meet a home’s specific energy needs. Customers may visit pgworks.com/customerkits to request one of three Energy Saving Kits, while supplies last.

The home heating kit includes caulk, weatherstripping, and outlet gaskets. The water heating kit features pipe wrap, a low-flow showerhead, and a low-flow faucet aerator. A combination home heat and water kit includes all these materials.

“PGW’s Energy Saving Kits program is open to all residential customers,” said Stu Jerue, PGW’s Director of Customer Programs. “It is a free program that fills a crucial gap in providing energy savings  to customers who are not making large building upgrades or participating in the Residential Equipment Rebates or Home Comfort programs,” Jerue said.

The kits are part of PGW’s EnergySense program, a portfolio of rebates and incentives to both residential and commercial customers. For more energy saving tips, visit pgworks.com/energysense.

 This latest initiative adds to PGW’s ongoing customer focused energy savings efforts:

• Small Business Energy Check  program which provides free walkthrough energy assessments that recommend energy efficiency upgrades, to encourage small businesses to take advantage of prescriptive rebate programs.
• Residential and Commercial Equipment Rebates program: PGW offers rebates for heating, water heating and commercial cooking equipment. In 2025 PGW introduced rebates for residential insulation and a pilot program offering rebates for variable refrigerant flow (VF) natural gas heat pumps. 
• Low-Income Smart Thermostat (LIST) program offers free smart thermostats to low-income customers.

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Philadelphia Gas Works Supports National 811 Day and Safe Digging

Today is August 11, also known as National 811 Day, which is recognized by Philadelphia Gas Works (PGW), along with other utilities, contractors, excavators, and property owners across the nation. 811 Day is a reminder for residents and contractors to call 811 before any digging project, whether simply planting flowers or building a deck.

So, what is the 411 about 811?

Why call 811?

Regardless of the size of the project, anyone planning to pave, excavate, or demolish a building in Pennsylvania that has utility service or is adjacent to a utility line, including electric, telephone, water, sewer and gas, should – and is legally required to – call Pennsylvania 811. Anytime an underground utility is struck, there is a safety risk to the contractors, homeowners, utility workers, and residents in the area.

PGW also encourages City residents to call 811 to report any suspect contractor that may be digging without a valid Pennsylvania One Call ticket (request) in place, which alerts all facility owners of a possible safety concern. Jobsites without visible paint or flag markings onsite should be reported to 811.  

How to call 811?

Dialing 811 connects homeowners and contractors to the Pennsylvania “One Call” system, which alerts utilities to identify the location of their service or distribution lines within the scope of the proposed worksite. The 811 service is free to any homeowner and available 24 hours a day, 365 days a year.

When to call 811?

It is recommended to call three to 10 business days prior to beginning a project.

What do colorful markings on the street represent?

Utilities mark their lines with specific color codes: red markings represent electric power lines, conduit and power cables; orange markings represent communication lines; blue represents water; and green markings indicate sewers and drain lines. PGW marks natural gas utility lines with yellow paint or flags.

Last year, PGW marked underground natural gas lines for around 70,000 projects ahead of contractors, residents, and excavators breaking any ground.

Watch this short PGW video about the importance and responsibility of calling 811 before any digging occurs: https://www.youtube.com/watch?v=Cn_IpxRdKM.

At any time, the smell of gas or a foreign odor should be reported immediately to PGW’s emergency hotline at 215-235-1212 or 911.

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