Why Is My Atlanta Gas Bill Higher in Summer?

High summer natural gas bills? Find out how AGL spreads out its natural gas delivery costs to help keep your Atlanta gas bill lower.

Using Less Gas, Still Paying High Prices?

Confused why your Atlanta gas bill is really high? That's likely because of how AGL deals with high winter usage and the DDDC.
The heat’s off so why are is your Atlanta gas bill so high? Find out the reason for those confusing AGL delivery costs.

In Atlanta, we are already enjoying summer temperatures. Our furnaces are off, but our gas bills are still high. In fact, even if you use no natural gas in May, you will still owe a chunk of money. Believe it or not, each month you pay for natural gas services based on how much gas you used on the coldest day last year. Sound confusing? Let me explain why your Atlanta gas bill is high in summer.

Explaining Your Atlanta Gas Bill

The first thing you have to understand about high Atlanta gas bills in summer is the delivery charge. In the details of your natural gas bill, there are supply charges and delivery charges. Supply charges are simply the amount of gas you used times your rate for the month.

Delivery charges, or “base charges”, are a little more complicated. Firstly, Atlanta Gas Light (AGL), the gas utility company, collects this charge. It doesn’t matter which natural gas provider you have. That’s because the AGL maintains the natural gas delivery systems, gas lines, and meters. And this is exactly what that charge covers, plus other costs that go into maintenance, storage, and staffing.

How does the utility determine what to charge for delivery? I’ll get into that in the next section.

Where Your Atlanta Gas Bill Delivery Charge Comes From

The bulk of the delivery charge is a base charge calculated in part using the Dedicated Design Day Capacity Charge (DDDC). Your DDDC comes from the amount of gas you use during the previous year on the coldest day when there is the highest pressure on the gas delivery system. Therefore, the utility recalculates your DDDC each year. Several smaller charges are multiplied by your DDDC.

Delivery charges are calculated so that they are spread out over the year. That is, if you use more gas in winter, you don’t get socked with a big delivery charge at the same time. True, you pay winter delivery charges in summer but making calculations this way helps keep costs fairer.

The delivery charge also includes a base customer charge that is the same for everyone. Additionally, delivery charges include fixed costs for social programs and meter reading. Your DDDC does not affect these charges.

AGL sets your delivery charges with approval from the Georgia PSC.

Take More Control of Your Delivery Charge

So, even if you use little to no gas, you pay a delivery charge that was, in part, determined during winter of the previous year. However, you can take steps to lower your DDDC going forward! Making your home more efficient with natural gas savings tips lowers gas use and can lower your DDDC. So, simple things like sealing windows, installing a smart thermostat, and lowering the temp on your water heater make a difference!

Of course, slashing your natural gas bill could also be as easy as switching your Georgia gas company. Find a cheap rate today with us at https://www.georgiagassavings.com.

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