Natural gas is an important part of everyday life. So it's nice to know that
you can rely on Minnesota Energy Resources to
keep your business comfortable.
You can also count on us to provide the information you need
to manage your energy costs. A good way to start is by understanding the
rates you see on your monthly natural gas bill.
Who is this rate for?
The Natural Gas Rate for Business Service is designed to serve multi-family,
commercial and industrial customers.
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How reliable is my natural gas service?
Natural gas is available to you whenever you
need it. The only exception — as with any gas service — is when unexpected events
occur (such as a severe storm or a contractor digging into a gas line), that make it
impossible to deliver gas to your business. When this happens, Minnesota Energy Resources
responds immediately to restore service.
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How is the natural gas I use measured?
The amount of gas flowing through your meter is measured in hundred cubic feet
(CCF). But you are charged based on the average heat content of the gas delivered to
your business — or the number of therms you use. One therm is equal to 100,000 British
Thermal Units (Btu). One Btu represents the amount of heat needed to raise one pound
of water one degree Fahrenheit at sea level.
Your bill shows how much gas (CCF) you used for the past month and a calculation that
converts the amount of gas used (CCF) to reflect the heat content of the gas (therms).
The heat content of gas may vary. Minnesota Energy Resources determines the heat
content of the gas received from our supplier during the 30 days preceding your last
meter reading date. The result is shown on your monthly bill.
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What charges are involved?
Each month, your gas bill includes these charges:
- Distribution Charge, which covers the cost of delivering gas to your business on
the Minnesota Energy Resources system. This charge varies with the amount of
gas you use each month. See the Minnesota rate book
for distribution charges in your area.
- Natural Gas Cost is the purchase, transportation and storage of gas,
as well as the management of gas supplies for our customers. It includes
the actual price we pay to purchase gas from suppliers and the costs of
interstate pipeline transportation and storage services. These charges vary
each month with the market price of natural gas.
Minnesota Energy Resources does not profit from the price of
gas, which appears on your bill as Natural Gas Costs.
- Customer Charge, a fixed charge that does not vary with the amount of
gas you use. The Customer Charge covers the cost of providing safe, reliable gas
service. It includes the cost associated with owning,
maintaining and reading meters; maintaining equipment; and providing service
programs and communication services. The Customer Charge is the minimum amount you
will be billed each month.
Several factors can influence your monthly gas use.
Major factors that can be measured
by Minnesota Energy Resources are summarized in the lower left-hand corner of
your monthly bill.
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