Questions About Your Bill?As a result of the 2006 rate case commercial customers who use more than 4,000 therms annually (roughly 4,000 CCF’s), have been placed in the new C-2 Medium General Service Class, rate codes 347 and 547. With the change in rate class, there has also been a change in rate structure.
Use our secure bill calculator to get an estimate of your monthly bill and the 12 month comparison chart, by simply entering your account number.
How do we calculate your bill under the new rate structure?
Under the new C-2 Medium Commercial rate your bill is calculated with three sets of factors: the base rates, the gas charges, and any applicable taxes.
The base rates are for the delivery of gas to you through the Chattanooga Gas delivery system and are comprised of several factors including:
- Customer Base Use Charge: A fixed monthly fee for gas connection to your business.
- Demand Charge: A charge associated with the costs of delivering gas to your business. To ensure year round, on demand, delivery to you and Chattanooga Gas’s other firm customers, Chattanooga gas has sized and built its system to serve customers based upon the maximum daily amount of gas delivery that customers’ require. Therefore a demand charge is the fairest way to individually allocate each customer’s share of these costs based upon a customer’s demand on the coldest day of the year.
- Commodity Charge: A charge per them of gas consumed that covers any delivery system costs not covered by the demand charge.
The gas charges are specifically for the physical quantity of gas that Chattanooga Gas sells to your business. Chattanooga Gas does not earn a profit on the sale of natural gas; it is a pass through cost to you. The gas charges are comprised of:
- PGA Demand Charge: A charge associated with the costs reserving space on the interstate pipelines that are used to transport gas to Chattanooga Gas’s delivery system. To ensure year round, on demand, gas delivery to you and Chattanooga Gas’s other firm customers, Chattanooga Gas pays to reserve space on the interstate pipelines based upon an amount sufficient to enable it to meet customers’ maximum daily gas requirements. Therefore, a demand charge is the fairest way to individually allocate each customer’s share of these costs based upon a customer’s demand on the coldest day of the year.
- PGA Commodity Charge: A charge per them of gas consumed that covers actual cost of the gas.
Finally, depending upon your business’ tax status and your local government tax codes you may be assessed sales or other taxes on your delivery and purchase of natural gas./P>