Understanding Your Bill – Useful Terms

Rate Class

Your rate class will be based on the purpose of the property use (Residential/Commercial/Group Metered) and the gas service utilization (To heat/cool the property or for other purposes such as fireplace/water heater/dryer/stove). Distribution rates and other charges are dependent on your rate class.

Residential Service - Service to customers for residential purposes by individual meter in a single-family dwelling, individual apartment, up to three families served by a single meter (one customer) in a multiple family dwelling.

• Heating and/or Cooling - Where gas is used to supply the principal space heating and/or air-cooling requirements of a dwelling, including any other residential uses. Where gas is used in conjunction with service to commercial or industrial premises, the service shall be classified Commercial and Industrial service.
• Non-Heating and Non-Cooling - Where gas is not used to supply the principal space heating and/or air-cooling requirements but is used for any other residential purposes.

Commercial Service - This category shall include service to commercial and/or industrial customers, including schools, churches, embassies, rest homes, boarding houses, rooming houses, etc. supplied through one meter or a battery of meters.

• Heating and/or Cooling - Where gas is used to supply the principal space heating and/or air-cooling requirements, including other commercial and/or industrial uses
• Non-Heating and Non-Cooling - Where gas is not used to supply the principal space heating and/or air-cooling requirements but is used for any other commercial and industrial purposes. Where gas for a commercial and industrial purpose is used in conjunction with service to residential premises, the service shall be classified Commercial and Industrial Service.

Group Metered Apartments - Service applicable to any multiple-dwelling building or project comprised of four or more dwelling units (apartments) supplied through one meter or a battery of meters.

• Heating and/or Cooling - Where gas is used to supply the principal space heating and/or air-cooling requirements of the dwellings, including any other uses.
• Non-Heating and Non-Cooling - Where gas is not used to supply the principal space heating and/or air-cooling requirements but is used for any other purposes.

The Rate Class is located on the top left of the second page.

Meter Reading

 To read a meter with dials, please do the following:

• Starting with the left dial on the row of four (see diagram below), locate the dial hand and record the last number it has passed (taking note of the direction of the arrow on the dial).
• If the hand is between two numbers, record the lower number. If one hand is directly over a number, record that number. Continuing to the right, follow the same procedure for the three remaining dials.

 

Note: Actual readings will be attempted monthly, if an actual read could not be obtained, an estimated read based on historical usage and weather conditions will be utilized.

CCF: A unit of measurement for gas used. One CCF = 100 cubic feet.

How calculated: Current Reading – Previous Reading = Consumption Billed CCF

 

Therm (TH): For billing purposes, your natural gas usage is expressed in therms. A therm is a measure of the heat energy in natural gas and is approximately equal to the heat content in 100 cubic feet of natural gas, or a Centum Cubic Feet (CCF). Your meter reading (expressed in CCF of natural gas) and an energy content conversion factor determine the total number of therms you use.

How calculated: CCF x Therm Conversion rate = Therm

Bill Charges

Bill is composed of three sections:

• Distribution Service - This covers the cost of transporting the natural gas through the Washington Gas system to your meter.
• Natural Gas Supply Service - This relates to the purchase and provision of the natural gas supply or commodity.
• Taxes - Imposed by your local jurisdiction, taxes are collected by Washington Gas and remitted to the appropriate taxing authorities.

Distribution Service Charges

RES Surcharge: Customers, other than Residential Essential Service (RES) customers, billed under this rate schedule shall have a Residential Essential Service Surcharge applied to their bills as set forth in General Service Provision No. 29. 

How calculated: Therm x RES Surcharge Rate

Distribution Charge: The "distribution charge" is the amount the Company charges for delivering each therm of purchased gas consumed by the customer. Such charge is a measure of the costs of the Company to provide, maintain and operate a system of underground piping to distribute purchased gas to the service piping located on the customer's property. 

How calculated: Therm x Distribution Rate

PROJECT Pipes Adjustment: Customers billed under this rate schedule shall have an Accelerated Pipe Replacement Plan (APRP) adjustment applied to their bills as set forth in General Service Provision No. 28. The Public Service Commission of the District of Columbia approved the Company’s ‘PROJECTpipes’ Plan and Associated Cost Recovery Mechanism. Through this plan, Washington Gas is authorized to accelerate replacement of targeted gas main and service lines in various neighborhoods in the District of Columbia. The ‘PROJECTpipes’ Adjustment is adjusted as approved by the Commission.

How calculated: Therm x Project Pipes Rate

Customer Charge: Covers certain other costs of providing your service, including depreciation of equipment, taxes, maintenance and repair of customer lines, and expenses such as reading and billing. The "customer charge" is a measure of the costs of the Company's facilities and other costs that do not vary with the amount of gas the customer consumes. 

How calculated: Fixed monthly charge per rate type

Natural Gas Supply Service Charges

• PGC (Purchased Gas Charge): The "purchased gas charge" is the amount the Company charges for each therm of gas consumed by the customer. The gas consumed under this schedule shall be billed an amount per therm representing the average unit cost of purchased gas in accordance with Section 16 of the General Service Provisions. This Purchased Gas Charge (PGC) includes the cost to purchase the natural gas supply, plus the expense of transporting it through the interstate natural gas pipeline system. By regulation, Washington Gas must charge customers what it pays for the natural gas supply they use and cannot profit by increasing the cost of the natural gas supply it sells.

Note: If you buy gas from an energy supply company, the price should be specified in your contract with the supplier.

How calculated: Therm x PGC Rate

 

Tax Charges

DC Rights-of-Way Fee: This per therm surcharge will provide for the recovery of the District of Columbia Rights of Way Tax and be computed as set forth in General Service Provision No. 22, SURCHARGE FOR DISTRICT OF COLUMBIA RIGHTS OF WAY FEE.

How calculated: Therm x DC Rights-of-Way Fee Rate

Sustainable Energy Trust Fund (SETF): A per therm surcharge established in accordance with the applicable section of the District of Columbia’s Clean and Affordable Energy Act of 2008 (Energy Act of 2008). This surcharge will provide funding for sustainable energy programs that will be managed by a Sustainable Energy Utility, as defined by the Energy Act of 2008, on behalf of the District of Columbia.

How calculated: Therm x SETA Rate

Energy Assistance Trust Fund (EATF): All customers other than those participating under the Residential Essential Service Rider in Rate Schedule Nos. 1 and 1A shall contribute to the Energy Assistance Trust Fund through this surcharge. The surcharge is established in accordance with the applicable section of the District of Columbia’s Clean and Affordable Energy Act of 2008 (Energy Act of 2008). This fund shall be used solely to fund the existing low-income programs in the District of Columbia, as defined by the Energy Act of 2008, that are managed by the District Department of Energy and Environment.

How calculated: Therm x EATF Rate

Delivery Tax: For bills rendered on and after December 2, 2005, all customer gas consumption under this rate schedule shall also be billed an amount per therm for District of Columbia Delivery Tax in accordance with the applicable sections of the District of Columbia Official Code. This charge replaces the Gross Receipts Tax Charge that was based on the effective tax rate along with the billing of revenues to which it applied.

How calculated: Therm x Delivery Tax Rate

Sales Tax: Sales tax is applicable only to Commercial and Industrial rate class customers.

How calculated: Calculated Distribution/Surcharges dollar amount x Sales Tax Rate

OTHER CHARGES

Late Charges: Charge applied to arrearage invoice balances not paid by the due date. No late payment charge shall be levied on any amounts, including deferred payment installments, paid by the due date, or on amounts in dispute before the Commission.

How calculated: Amounts paid within the first month after the due date shall bear a late payment charge of no more than one percent (1%), and an additional late payment charge at the rate of no more than one and one half percent (1-1/2%) on the remaining unpaid balance per billing month thereafter, unless another rate has been specified by the Commission

RESIDENTIAL ESSENTIAL SERVICE RIDER: Eligibility for service under this Rider shall be limited to Residential customers who use gas for their principal source of space heating requirements and who have been certified by the District of Columbia Department of Energy and Environment pursuant to the Federal statutory criteria to be eligible for the Low Income Energy Assistance Program (LIHEAP). Eligibility shall be established each year on a first come, first served basis as determined by the District of Columbia Department of Energy and Environment (DOEE) and the subsequent application of this Rider shall apply to consumption during the then current November through April heating season.

How calculated: Billings for service under this Rider shall be the same as for all other heating and/or cooling customers under this Rate Schedule No. 1, except a RES discount shall be applied that equals 100% of distribution service, which includes the customer and distribution charges. The RES discount shall be applied to usage by eligible customers during the billing periods commencing with the month of November and ending with the month of April in which the customer is certified as eligible to participate. As stated on Rate Schedule No. 1, the Residential Essential Service Rider includes eligibility for the Company’s Arrearage Management Program (AMP), which will be recovered through General service Provision No. 29.