PGW’s fiscal year budget

PGW proposes a yearly operating budget and capital budget, which the Philadelphia Gas Commission must review and approve.

Operating budgets include a four-year forecast and cover the daily running costs of the utility. These costs include:

• Staff.
• Maintenance.
• Customer service.
• Administrative expenses.
• Debt payments.

Capital budgets include a six-year forecast and cover investments in PGW’s infrastructure. These investments include:

• Pipe replacements.
• Facility upgrades.
• Safety improvements.

Gas purchase contracts

PGW buys natural gas from outside suppliers. Those contracts affect what residents pay for gas service. The Commission reviews all gas purchase contracts before they get approved by Philadelphia City Council. We’re responsible for ensuring that residents are getting the best value for this service.

Real estate and procurement transactions

The Commission reviews all real estate acquisitions, sales, or leases that PGW proposes. We then send a recommendation to Philadelphia City Council, which has the authority to approve these decisions. We also work with City Council to approve standard contracts and short-term debt.

PGW is managed day-to-day by Philadelphia Facilities Management Corporation (PFMC). PFMC appoints PGW’s top executives, which the Gas Commission then approves. This includes:

• Chief Executive Officer (CEO).
• Chief Operating Officer (COO).
• Chief Financial Officer (CFO).

The Commission also appoints three members of the PGW Pension Committee, which hears appeals about PGW’s Pension Plan administration.

The Commission holds public hearings and meetings so that residents can speak directly to the Commission and PGW representatives. Upcoming meetings and information about how to participate are always posted on our public meetings page.