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 July 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 $0.6595
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 $0.6346
Interruptible Large Boiler Gas Sales Service (IS-2)
Administrative charge per day $50.00
Telemetering charge per day $1.50
All therms $0.6211
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 $0.6318
Natural gas service, interruptible $0.6210
Daily Balancing Service (DBS-1)
Administrative charge per day $4.30
Telemetering charge per day $1.50
Balancing service charge, first tier $0.03175
Balancing service charge, second tier $0.03555
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 $0.6595
 
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 $0.8699
GSD-2 FS-1 $3.7196 $0.8151
  IS-1 $5.2196 $0.7902
GSD-3 FS-1 $26.50 $0.7606
  IS-1 $28.00 $0.7357
GSD-3D FS-1 $28.00 $0.7111
  IS-1 $28.00 $0.6862
SUDS-1 IS-1 (First 5,000 therms) $1.50 $0.8083
  IS-1 (>5,000 therms) $1.50 $0.7933
IGD-1 IS-2 $201.50 $0.6625
SP-1 LS-1 (firm) $2,581.50 $0.6822
  LS-1 (interruptible) $2,581.50 $0.6714
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 cashout rates

Effective for the monthly cashout of imbalances incurred in May 2022.

Overtake Cashout Price
Imbalance Ranges Price Per Therm
for Month-End Imbalances
Over 0% through 3.5% $0.8839
Over 3.5% through 10% $1.0165
Over 10% through 15% $1.1491
Over 15% through 20% $1.2375
Over 20% $1.3259
 
Undertake Cashout Price
Imbalance Ranges Price Per Therm
or Month-End Imbalances
Over 0% through 3.5% $0.7128
Over 3.5% through 10% $0.6059
Over 10% through 15% $0.4990
Over 15% through 20% $0.4277
Over 20% $0.3564
 

For more information