(Philadelphia, PA – September 27, 2005) –Thomas E. Knudsen, PGW President and Chief Executive Officer of the Philadelphia Gas Works is urging state lawmakers to support legislation proposed by state Senators Vincent Hughes (D-Philadelphia) and Jay Costa Jr. (D-Allegheny) that would provide state funding to expand the federally funded Low Income Home Energy Assistance Program (LIHEAP).

“Fuel prices are rising to unprecedented levels as we approach the heating season,” Knudsen said, “and energy supply disruptions caused by Hurricane Katrina and now Rita are not helping.”

“As a state and as individuals, we have been quick to come to the aid of Gulf States disaster victims, but as Senator Costa pointed out, we also must take ‘steps to avert our own crisis in Pennsylvania.’”

While a number of states provide additional support for LIHEAP, only federal funds are used in Pennsylvania. Under the Costa-Hughes proposal, the state would add $80 million in funding for the program and make administrative changes that would not only increase grants but would enable an additional 240,000 low-income families to receive assistance.

The senators are also urging Governor Edward Rendell to make administrative changes that would make an additional 140,000 state residents eligible for grants.

Last year in Philadelphia alone, approximately 85,000 PGW customers received LIHEAP assistance.

PGW is the largest municipally owned gas utility in the nation and provides service to more than 500,000 residential, commercial and industrial customers.