|
|
Natural Gas Governmental Aggregation Programs
Frequently Asked Questions Whom do I call if I have a problem with my natural gas service? Cinergy will continue to deliver your natural gas and maintain the pipeline system that brings it to your home or business. You will continue to call Cinergy 800-774-1202 for emergency repairs, gas leaks, service turn on or turn off, etc.
Interstate Gas Supply (IGS) a large privately held company with headquarters in Dublin, Ohio was selected to serve the township. They are certified by the Public Utilities Commission of Ohio, currently supply customers in the Cincinnati area, and have served many governmental aggregation programs across Ohio.
Will it cost me to join the program? No. Enrollment in the program is free and you need not take any action. You only need to be eligible to participate. Please refer to the eligibility criteria shown below.
Who is eligible for the program? You must be a resident or business owner located within the township limits. Furthermore, you must have received an opt-out notice from IGS. Here are the criteria for eligibility: 1. you must not have already chosen a natural gas supplier on your own; 2. you must not be a PIPP (percentage of income payment program) customer; 3. you must not be in arrears on your bill payment; and 4. you must not be a mercantile customer (natural gas commercial accounts using over 5,000 CCF/year) When does the program start? Customer switching takes place when meters are read. Therefore, your start date will depend on when Cinergy reads your meter. Your service from IGS is expected to begin with gas flowing in late March or in April (April or May bill cycle).
How long is the program? The township's governmental aggregation program can go on indefinitely. Your initial offer from IGS is for two years and will end with your March 2008 billing period.
What if I don't want to participate? While most residents will remain in, and benefit from governmental aggregation programs, the choice is up to you. If you do not want to participate you will have 21 days in which to return a reply card to IGS or call them toll free at 800 280-4474. If you fail to do that, IGS will enroll you as their customer. Cinergy will acknowledge the enrollment and send you a confirmation letter reminding you of the pending switch. That letter will mention that you can cancel the switch by contacting Cinergy within 7 days.
No. For your convenience, you will continue to receive only one bill from Cinergy. It will show Cinergy's delivery charges and the supply charge amount owed IGS.
We make no promises, but experience has shown that most of the 200 plus governmental aggregation programs around Ohio save their residents modest amounts. It depends on how good the offers are, what the utility charges and finally what the customer uses. These programs won't make you rich or change your lifestyle. The savings do add up collectively and bring a great deal of disposable income back to the community. It also provides the ability to lock in stable fixed rates when desired. Finally, these programs let suppliers and the local utility know that you believe in competition and customer choice.
What is my initial price for gas? The price for April 2006 has been established at $0.881/CCF. That price compares favorably to the current Gas Cost Recovery (GCR) charged by Cinergy $1.0047/CCF. Cinergy's GCR changes monthly and could be higher or lower in subsequent months. Earlier this winter, during a period of high gas use, the GCR reached a record high of $1.2175/CCF.
How will my price be set in future months? During the seven warmer months of April through October, when natural gas prices are generally lower, residents will have a monthly variable rate. This would enable residents and small businesses to benefit if prices continue to fall. Then a stable price would be determined for the next heating season of November through March when residents consume almost 75 percent of their gas. While CG&E's rates change monthly, the township's program will be able to offer a stable fixed rate during that high use period. This will provide peace of mind to residents who have been exposed to soaring and unpredictable gas prices in several recent winters. Can I remain on budget billing? Yes. If you are on budget billing you will remain on budget billing. Cinergy reviews the prior 12 months billing history on a rolling basis. Your new rate for supply would be factored in as the months go by.
Can I exit this program without penalty? Yes, you may leave free of charge on several occasions. First, when an offer is presented you will have 21-days to opt-out of the program by returning a card to IGS or making a toll-free phone call. If you do not opt-out Cinergy will then send you a confirmation notice giving you 7 more days to cancel the switch. Then, by law, you will be able to leave without penalty at least every two years. There is also no penalty if you move during the program, or cancel during a variable priced month. What is the biggest risk if I join the program? There are risks in every decision we make, or fail to make. In this case there is no guarantee of saving. Despite finding an attractive rate initially; Cinergy's prices could drop lower than the township's rate at times. We addressed this concern by negotiating the ability to leave the program free of charge during the 7 variable priced months and for a nominal fee of $25 during the winter.
No. The programs while very similar are separate. We continue to look for electric suppliers who can provide savings and will notify you if/when an offer is found. You are being given a chance to participate in the natural gas program at this time. You will be able to participate in one program, both or none. This sounds complex is the township qualified to handle such a program? The township has retained Independent Energy Consultants, Inc. a PUCO certified broker and aggregator of natural gas and electricity - without using any taxpayer money. Their founder has designed, implemented, and administered dozens of successful programs elsewhere in Ohio. We will have their assistance and that of IGS throughout the program. Does the township benefit from the program? Yes. Our eligible township facilities will be included in the program, and our consultant is helping us assess how we might lower our natural gas and electric consumption.
These FAQs help but I still have a question. If you have additional questions please call IGS at 1-800-280-4474, weekdays, from 8:00 a.m. to 5:00 p.m. EST. For general information on natural gas deregulation in Ohio, you can also visit the Web Sites of the Ohio Consumer's Counsel (www.pickocc.org), or the Public Utilities Commission of Ohio (www.PUCO.ohio.gov). Please do not contact the township offices. We are pleased to have made this program possible, but IGS is best able to handle your calls and answer all of your questions.
|