As the cost of goods and services increase, we work every day to ensure we are providing you the safest, most reliable, lowest cost natural gas service we can. We don't mark up or profit from the price you pay for natural gas. You pay what we pay. Understanding the factors that determine how your natural gas bill is calculated and learning steps to reduce your energy usage are essential for taking control of your monthly bill and lowering costs.
Rates
Rate Changes
Effective January 1, 2025, the New Jersey Board of Public Utilities ("NJBPU") approved a rate change for certain components of Delivery Charges, which affects the Usage Costs portion of your bill.
Effective January 1, 2025, the New Jersey Board of Public Utilities ("NJBPU") approved a rate change for certain components of Delivery Charges, which affects the Usage Costs portion of your bill.
| Residential Therms 100* | October 1, 2024 bill With BGSS Decrease (see below) |
January 1, 2025 bill
With Delivery Charge Increase |
Change | ||||
|---|---|---|---|---|---|---|---|
| Delivery Charge increase | $183.35 | $184.34 | $0.99 | ||||
| * A therm is a unit of heat measurement used to calculate your gas usage and charges. 100 therms is for a typical winter month. Keep in mind that everyone’s therm use is different so your actual bill change will be different depending on the amount of therms used each month. | |||||||
Charges Related to Natural Gas Costs have Changed
Effective October 1, 2024, the NJBPU approved a decrease for BGSS, which affects the Gas Charges portion of your bill. Because SJG does not profit from the cost of natural gas, we are passing along the savings to you. You pay what we pay.
Effective October 1, 2024, the NJBPU approved a decrease for BGSS, which affects the Gas Charges portion of your bill. Because SJG does not profit from the cost of natural gas, we are passing along the savings to you. You pay what we pay.
| Residential Therms 100* | October 1, 2024 bill | October 1, 2024 bill
With BGSS Decrease |
Change |
|---|---|---|---|
| BGSS decrease | $185.19 | $183.35 | ($1.84) |
| * A therm is a unit of heat measurement used to calculate your gas usage and charges. 100 therms is for a typical winter month. Keep in mind that everyone’s therm use is different so your actual bill change will be different depending on the amount of therms used each month. | |||
Understanding Your Bill
Understanding how your natural gas bill is calculated can be confusing. Our goal is to help you understand the charges that make up your bill and reassure you that the cost of natural gas is less expensive than other energy sources. While some charges are necessary so that we can maintain a safe and reliable delivery system for you, others are mandated by the State of New Jersey. All rate changes are approved by the NJBPU before they are implemented.
There are two primary parts that make up your SJG natural gas bill – Gas Charges and Usage Costs. Let’s break down your natural gas bill. Keep in mind the basic billing unit for natural gas usage is a therm and the examples below may not reflect the rates shown on your bill.
Referred to as Basic Gas Supply Service (BGSS)
This is the actual cost of the natural gas you use in your home for heat, water heating, cooking, drying clothes, enjoying the ambiance of a gas fireplace, a generator for back up if there is an electric outage, and more. Every home is different. Please remember that we work hard to purchase natural gas at the most competitive market price for you. There is no cost markup. You pay what we pay. The Gas Charge is calculated by multiplying the number of therms you use by the cost per therm.
There are two charges that roll up into the Usage Costs section of your bill.
1. Customer Charge
This charge includes administrative costs (metering, billing, and recordkeeping) and is incurred even if no gas is used. It is currently $10.50 per month but may be prorated based on the number of days in a billing period. The days in a billing period are included on your bill.
2. Delivery Charge
The term Delivery Charge can be misleading because in everyday terms, it suggests a fee for delivering a product or service on a one-time basis. However, for SJG, the Delivery Charge covers the cost to deliver gas to your home 24 hours a day, 7 days a week, 365 days a year as well as the cost for certain State mandated programs. This includes:
- The cost of building and maintaining a safe and reliable system of infrastructure to transport natural gas to customers 24/7/365, including, but not limited to, transmission and distribution pipelines, compressor stations, gas storage facilities, and service lines
- The cost of maintaining and enhancing customer service operations, information technology, cybersecurity protections, and leak response and resolution
- Costs related to State mandated programs such as supporting energy efficiency programs to help customers use less energy or providing financial assistance programs to seniors and income-eligible customers
Importantly, the Delivery Charge is based on your usage during a billing period. Therefore, the more natural gas you use, the higher your Delivery Charge will be. This is why it is important to manage your energy usage efficiently.
(1) This is a monthly charge and is prorated based on the number of days in a month
Deposit
When you open an account, and are not a previous SJG customer, you are assessed a one-time deposit fee. This fee will be reimbursed after 1 full year of timely payments.
The deposit is waived for customers who:
- Have an excellent credit history with SJG
- Provide a letter of excellent credit from another utility company
- Serve in the military
Credit (CR)
Credits may appear on your bill and will carry over to your next bill, reducing some of your costs. Credits may be applied due to:
- Customer overpayment
- Cancelled bill-when an estimated meter reading is corrected and replaced with an actual meter reading
- Energy assistance credit
Estimated Meter Readings
Weather or an inability to access your meter due to fences, loose pets, or landscaping that blocks all or part of your meter can interfere with our ability to read your meter. In these situations, we may estimate your meter reading, sometimes just for one month or multiple months if the issue persists. If the estimate is higher than your actual usage it can lead to a higher than expected bill. If that happens, an adjustment will be made once we obtain an actual meter reading. If the estimate is lower than your actual usage, you may see a higher than expected bill in a future month. If you notice that your bill has been estimated, you can snap a photo of your meter and email it to contactus@sjindustries.com, or enter the meter reading in My Account, and we’ll adjust your bill if necessary.Several factors impact your monthly bill.
Factors you cannot control:
- Customer charge – fixed monthly cost for having an active account
- Number of days in a month of the billing cycle (you may see fluctuations in your usage when a month has more or less days than the previous month)
- Seasonal changes and outdoor temperature affect the use of your heat (when the temperature is colder, we typically use more heat)
Factors you can control:
- Increase in Appliance Usage - your natural gas appliances work harder during colder weather which could cause your bill to be higher
- Number of gas appliances in your home
- Lifestyle changes, such as working at home
- Practice Energy Efficiency. Check out Energy Efficiency programs exclusively available for SJG customers - southjerseygas.com/conserve
How to control gas usage
- Use a smart or programmable thermostat
- Fix leaky water faucets (dripping hot water is using energy)
- Replace furnace and air conditioning filters (helps keep your equipment running efficiently)
- Relocate thermostats away from cold areas (seal areas where drafts are present)
- Clean dryer lint traps
- Replace older, less energy-efficient appliances with energy-efficient gas appliances. Incentives are available when upgrading to high-efficiency equipment and appliances
- Reduce length of time in the shower and consider washing clothes in cold water
- Fix windows that don’t close properly. Replace single-pane windows
- Close fireplace dampers when not in use
- Seal drafty areas
Most times when a meter is replaced, it’s because the meter isn’t functioning properly and may not be accurately recording natural gas usage. If your bill appears to be higher after a meter change, it does not mean you are paying for the new meter. Instead, the new meter is accurately recording the amount of natural gas you are using which is represented on your bill.
What you can do to help reduce your natural gas bill.
Reduce the number of therms you use. Simply put, the less therms or energy you use, the lower your bill. Remember, minor changes can help save energy and money without sacrificing comfort. Simple things like turning down your thermostat or sealing air leaks and drafts can help. In addition, Energy Efficiency programs, financial incentives, and resources are available to SJG customers:
Get instant rebates and discounts on smart thermostats and water-saving fixtures – southjerseygasmarketplace.com
Find easy ways to reduce your energy usage with a quick, online assessment - sjg.energysavvy.com
Visit SJGsaveenergy.com for information on money-saving Energy Efficiency programs, exclusively for SJG customers, including special programs for low to moderate income customers.
Visit southjerseygas.com/conserve for simple energy saving tips
Trouble paying your natural gas bill?
Utility bill financial assistance is available to help you pay and manage your energy bills. For resources and online applications, visit Utility Bill Assistance.
Visit My Account or speak with a Customer Service Representative about a Payment Arrangement to pay your balance over time.
Natural gas is still your best value.
You can be assured that natural gas remains the least expensive energy source, as highlighted in the Department of Energy's recently published 2024 residential energy forecast.
| Natural Gas Furnace (95%) | Oil (80%) | Savings $ | Savings % |
|---|---|---|---|
| $1,229 | $2,024 | $795 | 39% |
| Natural Gas Furnace (95%) | Propane (80%) | Savings $ | Savings % |
|---|---|---|---|
| $1,229 | $2,962 | $1,733 | 59% |
| Natural Gas Furnace (95%) | Electric (Resistance) | Savings $ | Savings % |
|---|---|---|---|
| $1,229 | $4,506 | $3,278 | 73% |
Average annual savings when switching from alternative heat sources and assumes use of high efficiency natural gas equipment. Actual savings vary based on usage and energy sources. Comparisons based on EIA NJ Residential Retail Pricing natural gas rates as of December 2024. Availability of natural gas is not guaranteed and contingent upon household proximity to natural gas main.
We appreciate our customers and our community and will continue to deliver value with safe, reliable, affordable natural gas.