Compare Pricing
Comparing natural gas prices can be confusing, as there are many ways to measure natural gas supply. Save significant money on your energy expenses today by following these tips for accurately comparing natural gas prices.
Always ask for a price quote in cost per CCF (100 cubic feet of gas) – the standard measurement used by Orange & Rockland Utilities (ORU) and Central Hudson Gas & Electric (CHUD).
Different ESCOs quote gas supply rates based on different measurements, but the utility company uses a single standard based on volume – cost per CCF (100 cubic feet of gas). By getting your gas quote in CCF terms, you will know the true cost of your natural gas as the utility counts it.
Some ESCOs quote cost per therm (100000 British Thermal Units). This refers to the total heat value of your gas, rather than the total gas volume delivered to you. For the same gas, cost per therm and cost per CCF will generally differ by 3.0% – 3.4%, depending on the utility (a difference called the BTU content).
Example, based on BTU content of 3.4%:
$1.00 per therm = $1.034 per CCF
Cost per therm is NOT the same as cost per CCF!
Know the difference between the “burnertip” price (cost at your meter) and the “citygate” price (the cost of natural gas when delivered from pipeline to the utility). Always get the burnertip rate.
Natural gas is delivered into both ORU’s and CHUD’s systems at a delivery point called the citygate. By the time the gas reaches the burnertip (your meter), about 2.5% of its volume will be lost (a figure called the fuel retention rate), resulting in a comparable difference between citygate and burnertip prices.
Example, based on fuel retention of 2.5%:
$1.00 per CCF at the citygate = $1.025 per CCF at the meter
The citygate price is NOT the same as your price at the meter. Always ask for the burnertip rate!
Click Here for a therm to CCF conversion chart
Know how to convert cost per Dth (dekatherm) pricing to cost per CCF.
A third term commonly used by ESCOs is cost per Dth (dekatherm). This is also a measurement of heat value rather than volume, where one dekatherm equals ten (10) therms. The same rules apply to convert a Dth price to a CCF price at the meter:
$10.00 per Dth / 10 = $1.00 per therm Multiply by 3.4% (BTU content) = $1.00 x 3.4% = $1.034 per CCF Multiply by 2.5% (Fuel retention) = $1.034 x 2.5% = $1.059 per CCF
Cost per Dth is NOT the same as cost per CCF!
Ask the ESCO if they participate in consolidated invoicing, or if they bill separately.
If your ESCO utilizes consolidated invoicing, you will receive a single monthly invoice for both your utility delivery charges and the ESCO’s supply charge. If they bill separately, you will receive two distinct bills every month – one from your utility, the other from your ESCO.
If the ESCO invoices separately, always ask if there is a monthly service charge.
Some natural gas suppliers add a monthly service charge to their bill. Does yours? If so, they add up: an $8.00 per month service fee adds up to an extra $96.00 billed every year.
For additional information on how you can save on your natural gas costs, call M&R Energy Resources at 1-866-610-SAVE today!