Last week we received our Choice Gas packet from Black Hills Energy. It is time to choose who you want to supply your gas for the coming year. While you don’t have to make a selection, shopping for a supplier can save you money.
About half of all people do not fill out their Choice Gas Supplier selection form. They end up paying as much as $100 more per year!
Natural Gas Choice programs since the late 1990’s have allowed residential consumers and other small volume gas users to purchase natural gas from someone other than their traditional utility company, Black Hills Energy throughout our area. This allows the market to set prices which were previously controlled by the government.
Black Hills Energy is our utility and sends our bills. They manage our gas within our communities by maintaining pipes, reading meters, and being available when we have problems with our appliances or service. What we are being asked to choose is which supplier will provide our share of the natural gas commodity to them.
There are seven suppliers available in this year’s Choice program. Each supplier allows you to select a rate for one year or two years. You could choose a fixed rate per therm (unit), which means you pay each month for what you have used, but the price of a therm remains the same. You could also select the market, variable, or index rate, where the price of each therm changes monthly based on the market price for gas.
Each supplier has a fixed monthly bill program where you pay the same amount every month, based on your usage from last year. This helps people who need to control their budget and want the same payment each month. If there is any chance you are going to move in the next year, you need to avoid this. Each company has a substantial charge for breaching your contract and opting out early.
From March 18 until April 22, 2021, you can contact each supplier via phone or the web address listed on your selection form. You will need the account number and the control number listed on your selection form. The supplier will quote you a price per therm that you can lock in, or use your usage to figure a set price per month, or lock you into a formula for calculating your market bill therm rate. Be sure to ask how long the quote is valid for and get a confirmation number.
Some of the energy companies offer other incentives: revenue returned to local communities, support for youth programs, or even a free month of gas.
After you’ve chosen which of the seven companies to use, which rate to use and for how long, check your choice, write in your confirmation code, sign and date your form, and mail it back. Or you can submit your selection online at choicegas.com or through your chosen supplier.
If you opt to be among the half of all homes that don’t make a selection, your coverage will roll over to your current supplier and price option. The rate you will pay will be determined by your supplier fifteen days after the selection period ends, and it will be higher.
Remember that you can save money in the coming year by making a few calls or using the Internet to find rates, then make a selection through the Nebraska Choice Gas Program.