How US Natural Gas Bills Work
US natural gas bills consist of a monthly customer charge plus a per-therm usage rate. The usage rate has two components: the commodity (supply) cost and the delivery/distribution charge. Commodity costs vary seasonally — winter supply is more expensive due to higher wholesale demand. Delivery charges are relatively stable year-round.
Gas rates vary significantly by state and utility. The national average all-in residential rate is approximately $0.90–1.30/therm. Southern states tend to be cheaper; Northeast and Pacific markets tend to be more expensive. This calculator uses national average rates as an estimate.
Tips to Reduce Gas Bills
- Lower the thermostat by 1°F — saves approximately 1% on heating costs
- Set a programmable or smart thermostat to reduce heating/cooling when you're away
- Seal air leaks around windows and doors — drafts are the #1 cause of heat loss
- Schedule annual furnace maintenance — a clean system runs 10–15% more efficiently
Frequently Asked Questions
Your bill shows current and previous meter readings (in CCF or therms), the usage difference, a customer charge, a supply/commodity charge, and a delivery/distribution charge. Taxes and fees may be itemized separately.
A household using gas only for cooking and water heating typically uses 15–30 therms/month year-round. Adding a gas furnace for heating can push winter usage to 80–150+ therms depending on home size and climate.