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11 Common Questions for Saving on Natural Gas

 

"This information is taken directly with permission  from the PG&E Website and Tariff"

I didn't think I had a choice of who I could buy my natural gas from. How does this work?

You certainly do have a choice. The natural gas industry in your area has been deregulated. The easiest way to understand it is to think of it like telecommunications deregulation, but instead of using phone lines we are using natural gas lines. We are able to sell you your natural gas at a discount and you continue to use the utilities existing pipelines to transport the natural gas to your facility or residence. There are no setup fees or connection fees and your utility will not charge you additional transportation costs. So we are able to pass on the savings from the actual natural gas you use.

How can our Suppliers  be able to offer me a lower rate than my utility?

The utility is allowed to build in cost of their infrastructure, Bad Debts and anything else the Public Utilities Commission will allow them, into their actual cost of gas. Our Suppliers  has minimal overhead and is much more flexible and able to go out and get the best price for our natural gas. We then pass savings on to our customers.

How are you able to get the natural gas to me?

We will give the natural gas you buy from us directly to your utility company and then you will still pay them to transmit and distribute the natural gas through their existing pipelines to your residence or facility. So you will still be a customer of your utility but if you get your natural gas from Our Suppliers you will still save money annually overall when you add in their transportation charges and the savings we offer you on the natural gas.

What if I have an emergency?

If you have an emergency like a gas leak or a fire you will still call your local utility company and they will come out and service your pipelines and meters, you will still be their customer because you will pay them to distribute your natural gas to your residence or facility. They will not charge you more in a maintenance or emergency situation because you are Our Suppliers customer. However, if you have a billing or customer service issue you can quickly contact your representative and be taken care of much quicker and effectively.

What are the risks involved with switching?

There is essentially no additional risk. Our Suppliers have been in business for over 18 years and have over 22,000 commercial accounts nationwide and we have never received a better business bureau complaint. That is not the case with other energy marketers. At Our Suppliers, we are truly devoted to customer satisfaction and our company was founded on the principles of Integrity, reliability, and trust. We have survived and outlasted many others in our industry even when most had only been in business a fraction of the time we have. We will be here for a long time to come and in the event we cannot supply you with gas your local utility company would begin to supply you again automatically. That is something that has never once happened in our 18 years of business. Look us up on the Better Business Bureau website (BBB.org). We have been in business since 1991 and have over 22,000 accounts nationwide without ever receiving one complaint. This is because our Supplier’s strong emphasis on maintaining superior customer service and customer relationships are key elements to our success.

How will you bill me for the natural gas we use?

If you are a Residential Customer you will continue to just receive your one PG&E bill. The only difference will be that instead of having PG&E’s cost for your natural gas on your bill you would have our Suppliers.  Nothing will change from your prospective and you just pay once using any current method available to you from PG&E. There is a $.05 per day customer fee included as well.

If you are a Commercial Natural Gas Customer in the PG&E area you would be eligible to receive your charges attached to your current PG&E bill, just as outlined above. You would also have the option to receive a separate bill from Our Supplier for the natural gas you used. This option has no customer fee.

If you are a Commercial Customer in the SoCal or SDG&E area you would receive a separate bill from our Suppliers  listing your charges for the natural gas you use each month.

Is there a chance that Our Suppliers  would cost me more overall than my Utility.

In some months there is a chance that we could cost you more but that does not happen often. However, when you look at it on an annual basis we have never cost our customers more than the utility would have on a per Therm basis. The reason that Tigers price can sometimes be more than the utilities price is because the utility actually lags behind were the current market price is. Historically our prices on a monthly level are most always less than the utilities but when natural gas prices rise unexpectedly and quickly in a matter of a few months it can result in our price for a month being more than the utilities. This is because when we were buying our gas at the markets current rates the utility was still selling gas at rates below where the current market was. This is because they must set their monthly prices well in advance of when we do and the market was not forecasted to rise so much or so quickly. This results in their prices continuing to rise as ours level off or drop from their highs. That is why we like for our customers to look at the savings on an annual basis. Essentially, if their prices are less than ours in one month then that difference is likely to be made up in subsequent months.

Can I buy my electricity from a program like this?

The deregulated electricity program in California has been suspended and is not available to those who are not already buying their electricity from an alternative provider. However, we plan to offer electricity services to our California customers as soon as the program is back up and running. By being a natural gas customer you will have the first available opportunity to switch your electricity service when that option is available. The relevant law was passed recently; however the details are being worked out. That law is CA SB 695 and it allows for limited expansion of direct-access electricity service (primarly commercial) and we expect this in the Fall quarter of 2010. 

What about the transportation cost of my natural gas service?

Your Utility will still charge you for the transportation of the natural gas to your facility or residence. You are already paying them for the transportation of the gas right now and when you become our customer your utility will not charge you anything additional for the transportation. So you can take the transportation out of the equation and whatever we can save you on the natural gas is what you can expect to save overall. You must use Natural Gas to save money with this program, the more you use the more we can save you.

Can I be your customer and participate in this program while receiving rebates and other savings program incentives through my utility?

Yes, you can purchase your Natural Gas at a discount from us and still be eligible for all the savings and rebate programs your utilities offer. This even includes California’s Care customers. Even if you signed a contract for a rebate you will remain a customer of your utility and still be eligible for the rebate and be able to participate in our program.

How is my index rate price actually determined each month?

In California the index’s we use to determine your price each month is either the Natural Gas Intelligence (NGI) or Inside FERC (IF) index. These indexes are third party organizations that look at all the transactions happening at a particular geographical delivery point and assign an index value for that delivery point each month. Both of these indexes are independent third party organizations, are highly respected and industry standards in the areas we use them. Essentially, they are determining the market based rate for your area each month.