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Customer Choice: Glossary of Gas Terms
The Pennsylvania Public Utility Commission (PUC) has provided these terms to make highly technical terms more clear. To simplify these terms, the PUC did not include the full technical details for every definition.
Actual Reading
The reading from your gas meter.
Adjusted or Corrected Reading
An amount shown on the bill to correct too much or not enough use from a prior reading.
Aggregation
A group that buys natural gas to obtain lower prices for a number of consumers.
Aggregator or Market Aggregator
A natural gas supplier that plans for natural gas supply services to a group of customers in a single buying unit.
Alternate Fuel Capability (Alternate Energy Capability)
Meeting energy needs with an energy source other than natural gas.
Balancing
The amount of natural gas a Natural Gas Distribution Company (NGDC) receives for delivery to a customer or customer roup and the amount of gas that customer or group actually uses.
Basic Services
Services necessary for the physical delivery of natural gas to a retail customer, consisting of natural gas distribution services and natural gas supply services.
BTU
British Thermal Unit is the amount of heat required to raise the temperature of one pound of water by one degree Fahrenheit.
Bundled pricing
Two or more services offered at a single price.
Burner Tip
The point at which natural gas is used, such as a furnace, water heater or range.
Capacity
The amount of natural gas transported within a specific period of time. The physical limits of a gas transportation system determine capacity. On the interstate transportation system, physical capacity is often divided among several parties, each party holding a contract for a specific quantity.
Ccf
Equals 100 cubic feet of gas. This is a measure of gas usage.
Chapter 56
The PUC regulations that govern metering, billing and collections for residential gas and electric service.
City Gate
The point where interstate pipelines deliver gas into an NGDC's facilities.
Commodity
Natural gas sold either by volume or heating value.
Commodity Charges
The charges for basic gas supply service.
Consumer Contract
A written statement of the terms of service between a customer and a natural gas supplier.
Customer Assistance Programs (CAPS)
A payment program for low income people who have trouble paying their bills. This payment program is set up between a utility company and the customer. It allows the customer to pay a percent of the bill they owe or to pay a percent of their income instead of paying the actual billing each month. When an agreement is made the customer must make regular monthly payments based on their new payment plan.
Customer Charge
A monthly charge to cover NGDC costs to maintain the gas lines, and provide meter reading and billing.
Customer Choice
Customers and sellers can deal directly with each other for natural gas supplies, which are transported through NGDC's pipes to the consumer.
Customer Classes
The classes of natural gas customers are residential, commercial and industrial.
Customer Reading
An actual meter reading made by the customer and given to the NGDC.
Dekatherm (DTH)
A measure of the heat content of gas. Gas usage is determined by multiplying the Mcf used by the heat content value of the gas.
Deregulation
Removal or relaxation of regulations or controls governing a business or service operation such as utility.
Distribution
The delivery of natural gas from the city gate to the consumer.
Distribution Charges
Charges for the delivery of natural gas from the point of receipt into the NGDC's system.
End-User
The natural gas consumer.
Estimated Reading
During months when the NGDC does not read the customer's meter, the bill is based on previous gas usage, gas rates and weather.
Firm Service
Natural gas service offered to consumers specified in tariffs or contracts that anticipate no interruption.
Flat Rate
A fixed charge for goods and services that does not vary with changes in the amount used, volume consumed, or units purchased.
Formal Complaint
A written dispute or disagreement about a utility problem filed by a consumer with the PUC. A formal complaint is assigned to an Administrative Law Judge (ALJ) who holds hearings to develop a record. After the hearings, the Judge issues a decision.
Gas Cost Adjustment Charges
The amount billed or credited each month to correct any differences between projected and actual gas supply costs of the NGDC.
Informal Complaint
A dispute or disagreement about a utility problem filed by a consumer with the PUC's Bureau of Consumer Services (BCS). A BCS investigator reviews the informal complaint and provides the customer with a response to their dispute.
Interruptible Service
Natural gas services that can be interrupted under terms and conditions specified by tariff or contract.
Interstate Transportation System
Federally regulated, large capacity pipelines that transport natural gas across state lines from points of production to NGDC's city gates.
Late Payment Charge
A charge for any bill not paid by the due date.
Low Income Home Energy Assistance Program (LIHEAP)
A federal /state program to assist low income utility customer to pay for energy services.
Marketer or Broker
An individual or business, licensed by the Commission that sells or arranges to sell natural gas. The difference between marketers and brokers is that marketers own the gas they sell, while brokers do not.
Mcf
1,000 cubic feet. This is a measure of gas usage.
Natural Gas Distribution Company (NGDC)
A regulated natural gas utility which owns the gas lines and equipment necessary to deliver natural gas to the consumer, formerly called LDC (Local Distribution Company).
Natural Gas Supplier (NGS)
An entity that sells or arranges to sell natural gas to customers that are delivered through the distribution lines of an NGDC.
Nonbasic Services
Optional services which are separate and not required for the physical delivery of natural gas service.
Office of Consumer Advocate (OCA)
A government office that represents the interest of residential utility consumers before the Public Utility Commission. This includes rate and services cases and before other state and federal regulatory agencies and courts.
Office of Small Business Advocate (OSBA)
A state government office that represents the interest of small business consumers. They participate in PUC rate cases and other state and federal regulatory cases.
Open Market
Competition is allowed.
Public Input Hearings
Meetings where consumers can give input to the PUC. This is in the form of sworn or unsworn testimony, often before a PUC administrative law judge.
Public Meeting
Meeting, open to the public, where the PUC Commissioners vote on all rate case filings and other official PUC business.
Public Utility Code
The law, which sets the powers and duties of the PA PUC. It also sets many of the guidelines the PUC uses for utilities' rates and service standards.
Public Utility Commission
Also known as the PUC. The state regulatory agency that provides supervision, policy, guidance and direction to public utilities and suppliers.
Service Reliability
A guarantee that the NGDC will deliver sufficient natural gas to satisfy customer consumption specified in tariffs and contracts.
State Tax Adjustment Surcharge
A surcharge on gas rates charged to customer, which permit NGDC's to track changes to various state taxes.
Storage
Keeping natural gas in an underground container for removal and use at a later date.
Title 52
The section of the Pennsylvania Code that governs utilities.
Transmission
The moving of natural gas through the interstate transportation system for deliver to NGDC's.
Unbundling
Breaking down services and/or rates that are offered into parts so each part is billed separately
