Gas usage and supply charges explained
There are two main types of gas charges on your bill: usage and supply. These charges will be stated on your bill each period so you have a clear understanding of how much gas you are consuming and the related cost.
Gas Usage Charge
This is the bill for the amount of gas your household actually consumes, and is sometimes called a variable charge or consumption charge. It is charged in cents per megajoule (c/MJ). A megajoule is a unit of measure equal to one million joules, and is the standard unit of measurement for gas use. Charges are set according to the type of tariff, or plan, you have agreed to.
Your gas bill is an excellent resource for managing your energy costs, because you can monitor how much gas you are using over time. To see how your costs are calculated, refer to your bill. It will indicate the previous meter reading, the current meter reading, and the formula used to determine your usage for the billing period. Most bills give an indication of when to expect the next meter reading, so ensure that your meter is accessible.
Gas Supply Charge
Each household is charged for receiving access to gas, regardless of how much is used. This is known as the supply charge, fixed charge, or service charge. It appears on your bill charged in cents per day or as the total charge for the billing period. This charge is fixed and remains unaffected by the amount of gas you use.
Occasionally you may see other fees on your bill besides the standard charges. These may include:
- A payment processing fee (usually when paying by credit card)
- An early termination fee
- An establishment fee for new customers
- Late payment fee
If you have any questions about the fees and charges that appear on your account, you can speak to a consultant at ElectricityandGas.com.au to better understand them.