Utility bill audits ยท Natural gas

Natural gas bill audits for commercial and industrial companies

Gas bills turn metered volume into energy, apply a rate class and a delivery service, and often add a supplier's price. Errors in any step repeat every month. We test each one against the utility's tariff and the supply contract.

Where commercial gas bills go wrong

A commercial gas bill converts metered volume into energy, applies a rate class and a delivery service, and in many states adds a supplier's commodity charge on top. Gas-intensive plants, from galvanizing and heat treating to food processing and grain drying, can carry large errors in each of those steps.

What we testWhat goes wrongWhere it matters most
Rate classA site billed under a general-service schedule when its volume qualifies for a large-volume or industrial schedulePlants that added gas load
Sales or transport serviceSites that could buy gas from a supplier and pay the utility only for delivery, or sites set up for transport incorrectlyStates with gas supplier choice
Firm or interruptibleInterruptible service a site could use and never applied for, or firm charges on load that is interruptibleSites with backup fuel or flexible processes
Heat content (therm factor)Volume converted to therms or dekatherms with the wrong heating valueEvery gas bill
Pressure correctionMissing or wrong pressure factor when gas is delivered above standard pressureElevated-pressure services
Meter index and multiplierA wrong index or correction factor after a meter or corrector exchangeLarge meters with volume correctors
Demand and contract quantitiesDaily or seasonal demand charges billed above the contracted or measured quantityLarge-volume and transport schedules
Balancing and penaltiesImbalance and operational flow order charges billed without matching the utility's or pipeline's noticesTransport customers in winter
Seasonal ratesWinter and summer rates applied outside the tariff datesSeasonal gas tariffs

Supply contracts and market prices

Where a supplier sells the gas, the bill should match the contract: the NYMEX price or index, the basis to the delivery point, the supplier's adder and any swing or balancing terms. We check each against the contract and against published prices. For how a delivered gas price is built, see natural gas: NYMEX and basis, and for the market, Henry Hub gas prices back to 1997.

Delivery capacity is now a cost question

In some metros, gas utilities are close to the limit of what they can deliver on the coldest day, which shows up as tighter rules for interruptible customers, more operational flow orders and new charges for large loads. Discovery tracks this in natural gas capacity outlooks for 48 U.S. metros, built from the utilities' own filings.

Results on gas accounts

  • A San Antonio gas account billed for years under a general-service schedule qualified for the utility's large-volume schedule: $33,554 a year saved on that account alone.
  • For a multi-state RNG producer, 13 sites not set up correctly for transport gas were expected to save more than $50,000 a month once corrected. Read the case.
  • For a national steel company with gas-intensive galvanizing and processing plants, an independent audit found 17 accounts on the wrong rate class in 7 states and $374,326 in refunds. Read the case.

Gas audits review 36 to 48 months of bills for every account in scope, with no upfront fee. Start with a free rate class check.

Frequently asked questions

What does a natural gas bill audit check?

Rate class, sales or transport service, firm or interruptible service, heat-content and pressure factors, meter index and correctors, demand and contract quantities, balancing charges, seasonal rates and the supply contract.

What is transport gas, and could we use it?

Transport service means a supplier sells the gas and the utility only delivers it. Eligibility depends on the state, the utility and the site's volume. An audit checks whether each site qualifies and whether it is set up correctly.

Can therm factors really be wrong?

Yes. The heating value and pressure factors that turn volume into billed energy are set by the utility and can be applied wrongly, especially after a meter or corrector change.

Do you audit gas bills in regulated states?

Yes, in regulated and deregulated markets across the US and Canada.

Find out what your bills should have cost.

Send one recent bill per site, or a list of accounts. We tell you where we expect findings before you sign anything. No upfront audit fee.