The New Reality of Energy Prices: What Businesses and Consumers Need to Know

The energy market is never still—it moves with supply, demand, policy shifts, and global events. Right now, we’re watching a critical shift in natural gas, electricity, and infrastructure that will impact businesses and homeowners alike.

At EnergyServ Solutions, we keep an eye on these changes so our clients aren’t caught off guard. Here’s what’s happening and why it matters.

Natural Gas Prices Are Rising—And That’s Just the Start

For years, low natural gas prices kept energy costs stable. But here’s the thing—when prices are low, companies cap wells and limit production. Now, with increased demand and a shift back toward domestic energy production, natural gas prices are creeping up.

What does that mean? More drilling, more liquefied natural gas (LNG) exports, and higher costs for electricity generation. We used to have a significant amount of natural gas power generation in Texas—until regulations made it difficult. Now, with fewer restrictions, natural gas is making a comeback. But with increased demand comes higher prices.

Even before this shift, we’ve seen volatility. Record cold weather spikes demand. A hot summer forecast means air conditioners will drive up usage. Add in potential new LNG exports and ongoing global conflicts, and it’s clear: natural gas isn’t going back to rock-bottom prices anytime soon.

Sticker Shock on Energy Bills? It’s Here to Stay

If you’ve noticed higher-than-usual energy bills, you’re not alone. The price of electricity and natural gas has been creeping up, but here’s what’s interesting—people have already started accepting it.

Take electricity bills in Texas: Three years ago, a winter bill might have been around $70. Today? That same bill is pushing $100, and in peak summer months, it jumps to $400. Yet, because it’s not as high as it was in August, people breathe a sigh of relief.

This is how markets work. Small, steady increases over time condition consumers to accept higher costs as the “new normal.” The same is happening with natural gas. If you think rates are high now, just wait until demand for gas-fired electricity ramps up.

Texas Energy: A Supply and Demand Problem

Texas has long enjoyed lower energy costs compared to other states, but things are changing. Infrastructure hasn’t kept up with demand, and moving power and gas where it’s needed is becoming a challenge.

Other states are seeing similar spikes—New Jersey is expecting a 30% increase in energy prices this year alone—but Texas faces its own unique issues. We’re dealing with:

Population Growth: More people moving in means more demand on the grid.

Industry Expansion: AI, data centers, and manufacturing are all hungry for power.

Infrastructure Challenges: We need more pipelines and transmission lines, but those take years to build.

Meanwhile, the political back-and-forth on energy policies creates market uncertainty. One administration pushes for renewables, the next reverses course. This instability means businesses must factor in risk premiums before investing in new energy projects. The result? Higher costs passed down to consumers.

What Does This Mean for You?

Whether you’re a homeowner or a business owner, energy is no longer just another bill—it’s a strategic cost that needs to be managed.

For businesses: If your energy contract is coming up in the next 12-24 months, now is the time to start planning. Rates aren’t likely to drop significantly, and waiting too long could mean locking in at peak prices.

For homeowners: Expect steady increases in gas and electricity costs. Shopping for the best rate matters, but understanding how market shifts impact your bill is just as important.

At EnergyServ Solutions, we help businesses and property owners navigate this evolving landscape, providing strategies to stabilize costs and avoid surprises. If you’re wondering how to manage your energy expenses in this unpredictable market, let’s talk.

Uncertainty is expensive. A smart strategy isn’t.