Millions of Homes Heat With Natural Gas, and $90,000 Across These 3 Gas Utilities Pays $3,203 a Year
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Heating season brings higher natural gas bills for many U.S. households as about half of U.S. households heat mainly with natural gas or propane, according to the Energy Information Administration’s Winter Fuels Outlook released Oct. 6, 2026. The utilities that pipe that gas into homes also pay their shareholders every quarter.
A $90,000 investment split evenly across three regulated natural gas utilities ($30,000 each) would generate about $3,203 in annual dividend income. That works out to a blended yield of 3.56%. Each figure takes the company’s latest regular quarterly dividend, annualizes it, and applies it to the Nov. 13, 2026 share price, so the income moves whenever prices or dividends change.
In plain terms, a regulated utility is a local monopoly. It gets the exclusive right to serve a territory, and in exchange, a state commission decides what it can charge. Regulators approve rates that cover operating costs and allow a set return on the pipes and equipment the company has built, called the rate base. Growth is slow, profits are predictable, and that steady cash pays the dividends. Here’s what a $30,000 stake in each would produce.
ONE Gas
- Stock #3: ONE Gas (NYSE:OGS | OGS Price Prediction)
- Yield: 3.24%
- Shares for $30,000: 357.82
- Annual Passive Income: ~$973
ONE Gas is a fully regulated distributor serving more than 2.3 million customers through Kansas Gas Service, Oklahoma Natural Gas and Texas Gas Service. It invests roughly $800 million a year, mostly on pipe replacement and lines to new customers, and earns a return on that spending through state rate mechanisms. Oklahoma regulators approved a $28.7 million base rate increase on Oct. 14, 2026.
The quarterly dividend rose from $0.67 to $0.68. The annualized $2.72 is covered by 2026 adjusted EPS guidance of $4.95 to $5.01, which was raised on Nov. 2, 2026. The main risk comes from regulators. Weather ran 23% warmer than normal year to date, and regulator-approved weather normalization offset the hit. Earnings depend on those mechanisms staying in place.
New Jersey Resources
- Stock #2: New Jersey Resources (NYSE:NJR)
- Yield: 3.6%
- Shares for $30,000: 539.47
- Annual Passive Income: ~$1,079
New Jersey Resources is built around New Jersey Natural Gas, which serves about 595,000 customers across six counties. It also owns solar projects, gas storage, and an interstate pipeline. Together, the regulated utility returns and the fee-based storage income support the yield.
The quarterly dividend went from $0.475 to $0.50, extending a record of raises across 30 consecutive years. The $2.00 annualized payout compares with fiscal 2025 net financial earnings of $2.83 per share. The key risk is a pending base rate case seeking a $157.6 million increase. The final order will set the utility’s earning power for years.
Northwest Natural Holding
- Stock #1: Northwest Natural Holding (NYSE:NWN)
- Yield: 3.84%
- Shares for $30,000: 575.59
- Annual Passive Income: ~$1,151
Northwest Natural serves about 809,000 gas meters in Oregon and southwest Washington. Its SiEnergy unit has about 98,600 meters in Texas markets, and the company also runs a water utility. Washington regulators approved a $20.1 million increase effective Aug. 1, 2026.
The quarterly dividend rose from $0.4925 to $0.50, which the company called its 71st consecutive annual increase[1] and its largest since 2012. The $2.00 annualized payout is covered by 2026 EPS guidance of $3.10 to $3.20[1], raised on Nov. 4, 2026. One risk is that continued system investment is driving up depreciation and financing costs, and higher rates make that borrowing more expensive.
Interest Rates and Hookup Rules Can Change the Income Math
The 10-year Treasury yield stood at 5.10%[2] on Nov. 12, 2026, and the fed funds upper bound was 4.00%[3]. With Treasuries yielding more than all three stocks, utility shares compete with bonds for income dollars. State and local policy also affects gas demand. Some states and cities have moved to restrict gas connections in new buildings, while other states have blocked local bans (Energy Department guidance on local hookup bans). Rate case results remain the biggest factor for all three.
Breaking Down the $3,203 Income Stream
| Name | Yield | Annual Dividend Income |
|---|---|---|
| ONE Gas | 3.24% | $973 |
| New Jersey Resources | 3.6% | $1,079 |
| Northwest Natural Holding | 3.84% | $1,151 |
| Total | 3.56% | $3,203 |
Together, these three positions generate $3,203 in annual passive income on a $90,000 investment, a blended yield of 3.56%. Northwest Natural contributes $1,151, New Jersey Resources adds $1,079, and ONE Gas rounds out the group with $973.
All three companies grow at a slow, regulated pace by design. Regulators approve the rates, customers keep paying to heat their homes, and the dividend checks come every quarter. Next, watch New Jersey Resources’ pending rate case order and each company’s upcoming dividend declarations.
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David Beren has been a Flywheel Publishing contributor since 2022. Writing for 24/7 Wall St. since 2023, David loves to write about topics of all shapes and sizes. As a technology expert, David focuses heavily on consumer electronics brands, automobiles, and general technology. He has previously written for LifeWire, formerly About.com. As a part-time freelance writer, David’s “day job” has been working on and leading social media for multiple Fortune 100 brands. David loves the flexibility of this field and its ability to reach customers exactly where they like to spend their time. Additionally, David previously published his own blog, TmoNews.com, which reached 3 million readers in its first year. In addition to freelance and social media work, David loves to spend time with his family and children and relive the glory days of video game consoles by playing any retro game console he can get his hands on.
