Understanding Your Bill
The Oklahoma Natural Gas residential rate structure has been simplified to make it easier to understand. There are two different rate plans to better match your individual natural gas consumption.
Plan A is designed for lower-volume customers whose annual consumption is less than 50 Dekatherms* per year. Plan B is for larger-volume customers whose annual consumption is 50 Dekatherms* or more per year.
Remember, these plans only affect what Oklahoma Natural Gas charges you for service and delivering the gas. The cost of fuel—the natural gas you consume—is separate and is based on the amount Oklahoma Natural Gas actually paid to buy the natural gas on your behalf. The company makes no profit on the sale of natural gas.
Rate Plan A (less than 50 Dekatherms per year)
- Service Charge (monthly) - $15.46
- Delivery Charge per Dekatherm - $4.1143
Rate Plan B (50 Dekatherms or more per year)
- Service Charge (monthly) - $32.60
- No Delivery Charge
*A Dekatherm is a measurement of energy content. One Dekatherm is the approximate energy content of 1,000 cubic feet of natural gas.
The following descriptions are given to help you better understand the various charges listed on your bill:
Cost of Gas (COG) – Cost of Gas (referred to as Customer Fuel Cost in Oklahoma) includes the cost the company pays for natural gas, as well as related storage and transportation costs. The COG may also contain other charges approved by the appropriate regulatory authority. State statutes or regulations do not allow the company to mark up the cost of gas.
Customer Charge or Service Charge – Customers pay a Customer or Service Charge to help recover the fixed costs of providing natural gas service. Fixed costs include bill processing, meter reading, meter equipment, service line maintenance and customer service personnel.
Delivery Charge – Customers pay a Delivery Charge to have natural gas delivered to their residence or business. The charge is based on billed gas usage and may vary monthly.
Cost of Service (Oklahoma) – Cost of Service includes the Service Charge and Delivery Charge, as well as additional fees related to ensuring that gas and related services are available when you need them.
MDQ FEE (Oklahoma) – The MDQ FEE (Maximum Daily Quantity) represents a portion of the cost associated with maintaining the company’s ability to meet its customers' needs during times of peak demand. This charge applies only to certain rates.
Temperature Adjustment/TAC (Oklahoma) – The Temperature Adjustment offsets the impact of weather variations. It is based on historical weather information and has the effect of reducing bills in colder-than-normal weather and increasing bills in warmer-than-normal weather.
Riders and Other Fees - Are designed to cover a variety of expenses related to making sure that you have service when you need it. These charges are not included in the basic rates because they may fluctuate.
Franchise Fee - The Franchise Fee is a tax which we pay to a municipality in order to operate within the city and use its rights of way for our pipelines. A franchise election is held periodically to determine if we can retain this privilege. Oklahoma Natural Gas Company bears the expense of this election.
Units of Measure
- Ccf – Abbreviation for 100 cubic feet. Mcf – Abbreviation for 1,000 cubic feet. Dth – Abbreviation for 1,000,000 Btu’s (1 MMBtu)
- Btu Adjustment (Oklahoma) – This adjustment is for the heat content of the gas. Btu is the abbreviation for British thermal unit, a measurement of the heating value of natural gas.
- Constant – The Constant is a pressure factor or meter factor used to convert metered volume to bill volume.