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Natural Gas Rates

One of Kitchener Utilities key responsibilities is to make recommendations to Kitchener City Council regarding natural gas rates. Our recommendations are based on:

  • Our costs to purchase natural gas
  • Current and upcoming infrastructure maintenance costs

Our goal is to provide our customers with reliable service at a fair price. Our customers have told us that they do not like the rise and fall of rates, and prefer rate stability. We have listened and we strive to keep our rates consistent and as low as possible.

Understanding natural gas rates

Natural gas rates can be difficult to understand. To help make understanding your rates a little easier, we have defined each aspect and what it means to you as a customer.

The supply and transportation rates apply to customers supplied by Kitchener Utilities only. If you are purchasing your gas from another retailer and have questions about your rate, please contact your broker directly - their name and phone number will be listed on your utility bill.

Supply rate: The rate charged for natural gas commodity, fuel, and administration.

Transportation rate: The rate charged for bringing the natural gas to Ontario.

Delivery rates: The delivery rates, variable delivery rate and the daily fixed charge, recover the cost to maintain, repair and upgrade the delivery system, along with meter reading and billing.

NEW Ontario cap-and-trade rate (effective Jan. 1, 2017):  In compliance with provincial legislation designed to address climate change, Kitchener Utilities (KU) is required to purchase natural gas emission allowances for its customers.  KU will recover these costs through a cap-and-trade charge added to the variable delivery rate.

Rates for general service M1 customers

General service M1 - annual consumption less than 50,000 m3

Amount of Natural Gas Used Per Month

Supply Rate ¢/m3

Transportation Rate ¢/m3

Variable Delivery rate ¢/m3

Net Rate ¢/m3

Daily Fixed Charge

All volume - m3

9.5

5.0

10.5537*

25.0537

73 ¢/day

Previous rate

10.5

4.0

7.1543

21.6543

73 ¢/day

m3=cubic metres

*The new Ontario cap-and-trade charge of 3.5647 cents per cubic metre will be added to your variable delivery rate on your bill effective Jan. 1, 2017.

The above fees are also subject to an additional 13 per cent HST.

Rates for general service M2 customers

General service M2 - annual consumption greater than 50,000 m3

Amount of Natural Gas Used Per Month

Supply Rate ¢/m3

Transportation
Rate ¢/m3

Variable Delivery rate ¢/m3

Net Rate ¢/m3

Daily Fixed Charge

All volume - m3

9.5

5.0

9.752*

24.252

$2.30/day

Previous Rate

10.5

4.0

6.6466

21.1466

$2.30/day

The above fees are also subject to an additional 13 per cent HST.

*The new Ontario cap-and-trade charge of 3.5647 cents per cubic metre will be added to your variable delivery rate on your bill effective Jan. 1, 2017.

If you have questions about your natural gas rates or would like historical rates, please email or call us at 519-741-2450 and we will be happy to help you.