Differences in Natural Gas Use and Costs

In such a big country, natural gas use can look very different in each state. On one hand, most states use natural gas for heating and cooking. On the other hand, how much natural gas we use, rates, and where we shop natural gas plans differs a lot between states. In Georgia, we rely on natural gas for heating through winter, but we don’t produce much. By contrast, Pennsylvania and Ohio are major producers but have longer heating seasons. So, let’s compare natural gas use in Georgia with other states in detail to see how much they differ.
Natural Gas Use and Production in Georgia
Georgia’s natural gas story is mostly about demand, not supply. Georgia homes use gas mainly for heating during the winter and, to a lesser extent, for cooking and water heating. On average, homes use about 613 therms per year, according to the Georgia PSC. But Georgia doesn’t produce much of its own natural gas. Instead, we to bring in our supply through huge pipelines from other states. This adds to the cost of natural gas delivery.
Pennsylvania and Ohio, on the other hand, sit on top of large natural gas fields. These states don’t end up paying the costs of piping in gas from other states. However, with longer and colder winters, they use a lot more natural gas for heating. Basically, a typical home uses about 1,488 therms per year in Pennsylvania and about 1,300 therms per year in Ohio.
One thing each of these states has in common is their deregulated natural gas market. With this type of gas market, consumers can shop for rates through competing suppliers. In the end, this often results in customers getting better deal. So, let’s see how natural gas rates compare across these states.
Comparing Natural Gas Rates in Different States
As we have discussed, Georgia has lower natural gas use and little production. On the other side, Ohio and Pennsylvania have higher use and high production. How do these differences play out in natural gas rates? Over the past 25 months, the average natural gas rate (including supply, delivery, and other charges) for each state was:
- Georgia: $2.40 per therm
- Pennsylvania: $1.64 per therm
- Ohio: $2.00 per therm
Georgia rates end up being higher consistently. But, despite the higher average per therm rate in Georgia, we are still paying about $1,000 less per year for natural gas than Pennsylvania or Ohio. That comes down to our warmer climate.
It’s also important to remember that you are not locked into that average rate! In fact, you could save hundreds by locking in a cheap fixed rate plan with a lower than average rate. So, check out your best options today at https://www.georgiagassavings.com.