FortisBC residential customers in Princeton will see around a $100 savings per year on their heat bills.
This is a 10 per cent decrease from previous years, said the BC Utilities Commission.
The drop in price will begin April 1, 2012.
A mild winter, growing supply of natural gas and reduced demand have come together to keep natural gas prices low, said Cynthia Des Brisay, BCUC vice-president of energy supply and resource development.
"The rates approved today are allowing our customers to continue to benefit from some of the lowest delivered natural gas prices in more than a decade," she said.
The Lower Mainland, Fraser Valley, Northern B.C. and the Kootenays will see the same decrease as Princeton and other Okanagan communities.
Whistler, Fort Nelson and Revelstoke residents will save between $93 and $106 per year.
For more information on how rates are set, visit the FortisBC website.