By The Canadian Press

REGINA - Homeowners in Saskatchewan can look forward to a drop in their heating bills after the provincial government approved a natural gas rate decrease of nearly eight per cent.

The drop - retroactive to Nov. 1 -is expected to save the average homeowner about $81 a year.

The Saskatchewan Rate Review Panel had previously recommended the decrease that was requested by provincially owned SaskEnergy.

The reduction, which covers the commodity cost of gas, is in response to falling market prices.

Ken Cheveldayoff, the minister responsible for SaskEnergy, says the utility has applied to the rate review panel for a hike in the delivery cost of gas.

A recommendation is expected to come down in January.