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Understanding Your Natural Gas Charges


When the average residential customer receives natural gas from Peoples Gas, you pay for what is called "bundled" service. You buy your gas supply from Peoples Gas and we transport it to your home. You receive one bill that includes a charge for the actual natural gas commodity or supply, and a charge for transportation services. The natural gas commodity is a pass-through expense and the price is adjusted monthly. This expense is called the Purchased Gas Adjustment.


Business customers (and residential customers using more than 2,000 therms a year) receive a charge for transportation services on their bill. They may buy their gas supply from Peoples Gas receive a charge for the natural gas commodity, a pass-through expense that is adjusted monthly, called a Purchased Gas Adjustment. These customers may also choose to purchase their gas from a third party supplier.