Gas Billing Considerations: Difference between revisions

 
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Consumption alone is still the biggest factor in the total cost. Keep in mind that having a way of billing that is similar to electricity brings its own set of challenges. This puts gas and electrical appliances, more or less, on equal terms.  
Consumption alone is still the biggest factor in the total cost. Keep in mind that having a way of billing that is similar to electricity brings its own set of challenges. This puts gas and electrical appliances, more or less, on equal terms.  


As a consequence, not only the efficiency of a particular class of products is important, but also the actual energy input, making decisions to repair, upgrade or replace certain gas appliances a much more difficult proposition.
As a consequence, not only the efficiency of a particular class of products is important, but also the actual energy input, making decisions to repair, upgrade or replace certain gas appliances a much more difficult proposition. While electrical appliances are not twice as efficient as the one for gas, there are other aspects that have an influence.


The current gas billing situation makes cost savings much more difficult as it is not centered only on limiting actual consumption but also on looking for comparisons between gas and electrical appliances and choosing electrical ones, if they are more viable or versatile.
The current gas billing situation makes cost savings much more difficult as it is not centered only on limiting actual consumption but also on looking for comparisons between gas and electrical appliances and choosing electrical ones, if they are more viable or versatile.


=Gas billing=
=Gas billing=
Gas billing is almost always based upon a flat rate, determined through gas volume being passed onto the consumer. However, this is initial value is compounded in a calculus, as the actual used gas is converted into an equivalent energy unit input, measured in Kwhs, as for electricity, then billed accordingly.  
Gas billing is almost always based upon a flat rate, determined through gas volume being passed onto the consumer. However, this is initial value is compounded in a calculus, as the actual used gas is converted into an equivalent energy unit input, measured in Kwhs, as for electricity, then billed accordingly.


  '''Partial cost''' = Demand or service charge + Energy cost<br>
  '''Partial cost''' = Demand or service charge + Energy cost<br>
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==Demand or service charge==
==Demand or service charge==
A fixed monthly cost that is established through contract, based on the consumption profile agreed upon. In many cases, this fixed cost is established by the utility distributor and cannot be chosen otherwise.
A fixed monthly cost that is established through contract, based on the consumption profile agreed upon. In most cases, this fixed cost is established by the utility distributor and cannot be chosen otherwise. It is typically much lower than the cost for an electrical energy contract.


===Energy charge rate (partial cost calculation)===
===Energy charge rate (partial cost calculation)===
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In Britain, Europe and Japan, but also in many other developed countries around the world, the metered gas, as measured in cubic centimeters, is adjusted for pressure and temperature and given an adjusted equivalent based on thermal (burning) potential energy release, known as calorific value.
In Britain, Europe and Japan, but also in many other developed countries around the world, the metered gas, as measured in cubic centimeters, is adjusted for pressure and temperature and given an adjusted equivalent based on thermal (burning) potential energy release, known as calorific value.
<i>Currently, a KWh of equivalent energy out of gas is priced at roughly HALF the cost of a KWh provided through electrical energy.</i>


Keep in mind that energy unit cost is a derived value based on the pre-determined performance of gas. Production and distribution costs may or may not be separately reflected on the energy bill. A typical billing calculation ends up as below.
Keep in mind that energy unit cost is a derived value based on the pre-determined performance of gas. Production and distribution costs may or may not be separately reflected on the energy bill. A typical billing calculation ends up as below.


  '''Delivered Energy''' = (Gas volume x VC x CV ) / KC<br>
  '''Delivered energy''' = (Gas volume x VC x CV ) / KC<br>
  where
  where
  - Gas volume is amount of metered gas (in m3)
  - Gas volume is amount of metered gas (in m3)
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  '''Energy cost''' = Delivered energy x KWh unit price<br>
  '''Energy cost''' = Delivered energy x KWh unit price<br>
  where KWh unit price can be similar to electrical energy derived KWh unit price
  where KWh unit price can be, in the future, at a similar amount to an electrical energy derived KWh unit.


===Tiered consumption range===
===Tiered consumption range===
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| 3 || 3,000-30,000 MW/h || .006% discount of full price
| 3 || 3,000-30,000 MW/h || .006% discount of full price
|-
|-
| 4 || 30,000-300,000 MW/h || .0017% discount of full price
| 4 || 30,000-300,000 MW/h || .017% discount of full price
|-
|-
|}
|}
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===Surcharges (mandatory)===
===Surcharges (mandatory)===


The V.A.T. as is commonly known, can change by national government decision. It is typically between 5-25%, depending on country and product or service. In the future, Carbon Credits may also be considered as a component that influences the end-user energy unit price, proportional to consumption and discouraging large consumers, based on their potential environment impact cost.
The Value Added Tax, or V.A.T. as is commonly known, can change by national government decision. It is typically between 5-25%, depending on country and product or service.  
 
In the future, Carbon Credits may also be considered as a component that influences the end-user energy unit price, proportional to consumption and discouraging large usage, based on potential environment impact cost.


===Future systems===
===Perspective===
The same systems employed on electricity metering and billing, including various caps may also be applied to gas, in the future, as it is entirely possible to do so as soon as more advanced meters come into the market.
The same systems employed on electricity metering and billing, including various caps may also be applied to gas, in the future, as it is entirely possible to do so as soon as more advanced meters become commonplace onto the market.


With liberalized energy markets in most countries, there is the potential for an additional adjustment either applied in the base energy unit price or separately represented by a fuel cost adjustment as on current electricity bills in some countries. When not present, as is the case here, the energy unit price (in KWh) is established and updated yearly.
With liberalized energy markets in most countries, there is the potential for an additional adjustment either applied in the base energy unit price or separately represented by a fuel cost adjustment as on current electricity bills in some countries. When not present, as is the case here, the energy unit price (in KWh) is established and updated yearly.


[[Category:Energy Conservation]]
[[Category:Energy Conservation]]