Natural Gas Rates

MGE takes seriously our responsibility to provide safe, reliable natural gas service at reasonable rates. We work hard to control our costs. In 2021, MGE worked with intervening parties to file a rate settlement agreement to resolve all issues in MGE's rate case. The Public Service Commission of Wisconsin reviewed and approved the settlement agreement, setting our electric and gas rates. Effective Jan. 1, 2022, natural gas rates increased 2.15% overall. The primary reasons for the gas rate increase are technology improvements and infrastructure costs to maintain a safe and dependable system.

Natural gas rates are separated into two components: Distribution Service and Gas Supply Service. The separation allows you to choose the type of service that’s right for your business.

The following natural gas rates are for services rendered on and after December 1, 2022.

These rates are subject to market variables that may change monthly. Please consult your bill for the most current applicable rates.

Distribution service

Rate Classification (C&I = Commercial and Industrial)

Small Commercial and Industrial Distribution Service (GSD-1)
System connection and customer service charge per day $0.8000
All therms $0.1960
Medium Commercial and Industrial Distribution Service (GSD-2)
System connection and customer service charge per day $3.7196
All therms $0.1437
Large Commercial and Industrial Distribution Service (GSD-3)
System connection and customer service charge per day $26.50
All therms $0.0917
Large Commercial and Industrial Demand-Based Distribution Service Pilot (GSD-3D)
System connection and customer service charge per day $26.50
All therms $0.0422
Demand-based billing determinant $0.0148
Interruptible Generation Distribution Service (IGD-1)
System connection and customer service charge per day $150.00
All therms $0.0414
Seasonal Use Distribution Service (SUDS-1)
System connection and customer service charge per day $1.50
Distribution rates per cycle bill:
- Distribution service per therm (first 5,000 therms) $0.1593
- Distribution service per therm (all therms > 5,000 therms) $0.1443
Contracted Distribution Service (CDS-1)
System connection and customer service charge per day N/A
All therms N/A
Steam and Power Generation Gas Distribution Service (Sp-1)
System connection and customer service charge per day $2,500.00
All therms $0.0504
 

Natural gas supply services

Rate Classification
Firm Gas Sales Service (FS-1)
Administrative charge per therm:
- GSD-1, RD-1 $0.0144
- GSD-2 $0.0119
- GSD-3, GSD-3D $0.0094
All therms $0.8638
Interruptible Gas Sales Service (IS-1)
Administrative charge per therm:
- GSD-1, SUDS-1 $0.0144
- GSD-2 $0.0119
- GSD-3, GSD-3D $0.0094
Telemetering charge per day $1.50
All therms $0.7325
Interruptible Large Boiler Gas Sales Service (IS-2)
Administrative charge per day $50.00
Telemetering charge per day $1.50
All therms $0.7189
Large Annual Use Gas Sales Service (LS-1)
Administrative charge per day $80.00
Electronic metering charge per day $1.50
Natural gas service, firm $0.7666
Natural gas service, interruptible $0.7463
Daily Balancing Service (DBS-1)
Administrative charge per day $4.30
Telemetering charge per day $1.50
Balancing service charge, first tier $0.04541
Balancing service charge, second tier $0.05419
Backup Sales Service (BU-1)
Administrative charge per therm:
- GSD-1, SUDS-1 $0.0144
- GSD-2 $0.0119
- GSD-3, GSD-3D $0.0094
All therms $0.8638
 
Total Charges for Business Customers With Firm
or Interruptible Natural Gas Supply

(These are combined charges from the components listed above)
Distribution Rate Supply Rate Per-Day Charges Per-Therm Charges
GSD-1 FS-1 $0.8000 $1.0742
GSD-2 FS-1 $3.7196 $1.0194
  IS-1 $5.2196 $0.8881
GSD-3 FS-1 $26.50 $0.9649
  IS-1 $28.00 $0.8336
GSD-3D FS-1 $28.00 $0.9154
  IS-1 $28.00 $0.7841
SUDS-1 IS-1 (First 5,000 therms) $1.50 $0.9062
  IS-1 (>5,000 therms) $1.50 $0.8912
IGD-1 IS-2 $201.50 $0.7603
SP-1 LS-1 (firm) $2,581.50 $0.8170
  LS-1 (interruptible) $2,581.50 $0.7967
GSD-1: Distribution rate for customers using less than 25,000 therms per year.
GSD-2: Distribution rate for customers using 25,000 to 200,000 therms per year.
GSD-3: Distribution rate for customers using more than 200,000 therms per year.
SP-1: Supply rate for customers on a firm basis who use at least 17 million therms per year.
FS-1: Supply rate for customers receiving firm natural gas supply service.
IS-1: Supply rate for customers receiving interruptible natural gas supply service.
LS-1: Supply rate for large annual use customers who receive distribution service under Rate Schedules SP-1 and IGD-1.
 

Balancing service (DBS-1) monthly cash-out rates

Effective for the monthly cash-out of imbalances incurred in October 2022.

Overtake Cash-Out Price
Imbalance Ranges Price Per Therm
for Month-End Imbalances
Over 0% through 3.5% $0.7085
Over 3.5% through 10% $0.8148
Over 10% through 15% $0.9210
Over 15% through 20% $0.9919
Over 20% $1.0627
 
Undertake Cash-Out Price
Imbalance Ranges Price Per Therm
or Month-End Imbalances
Over 0% through 3.5% $0.4822
Over 3.5% through 10% $0.4099
Over 10% through 15% $0.3376
Over 15% through 20% $0.2893
Over 20% $0.2411
 

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