How is my gas rate calculated?

The Residential Natural Gas Rate has several components.

First, there is the Usage Rate/Volumetric Rate, which remains the same from month-to-month. This is the charge for delivering natural gas through CoServ's distribution system.

Second is the Purchased Gas Factor (PGF), which represents the wholesale cost for gas during a given billing cycle. The PGF does not include any profit or markup. It reflects only the wholesale cost of the gas itself, plus the transportation costs. It fluctuates from month-to-month based on wholesale prices.

From December through May, Customer will notice a line item called the Weather Normalization Adjustment (WNA). WNA is a standard within the natural gas utility industry and protects both the customers and the gas provider. The calculation is based on normal temperatures, and it provides an adjustment if temperatures are higher or lower than normal. When the weather is colder than normal, the WNA will be negative, subtracting from the overall cost. When the weather is warmer than normal, the WNA will be positive, adding to overall gas charges.

CoServ’s goal is to always provide you with safe and reliable energy at an affordable price. WNA helps us do that in the heat of summer and the cold of winter.