The Saskatchewan government has approved rate changes that will result in lower bills for natural gas users.

Starting Nov. 1, homeowners will see an overall decrease of nearly two per cent a month, or $15 annually, to their SaskEnergy bills.

The province says the commodity rate, which is dropping to $3.65 a gigajoule from $4.30, will be the lowest in 16 years.

The Saskatchewan Rate Review Panel earlier recommended a 13 per cent cut to the commodity rate, rather than the 14 per cent decrease previously proposed by SaskEnergy.

In addition, SaskEnergy’s request for an 8.6 per cent delivery rate increase has been approved. The province says the increase is primarily related to costs for safety and infrastructure renewal.

The commodity and delivery rates will both be subject to a higher conversion factor for heat value.