Pricing and Tariffs
Price of natural gas
Energy is a big part of your operating costs, and it is important to keep it under control. Reducing your energy bill means more money for your business. The price of natural gas is cheaper than oil. These savings could mean a chance to reinvest in your business to increase your productivity.1
Chart comparing annual energy costs1 equivalent to 5,143 m3 (100% heating) .
Reduce your energy costs
Natural gas has been less expensive than fuel-oil. Lower your energy bill by installing natural gas equipment. Not only natural gas costs less, it is also more powerful than fuel oil.
Many people are not aware that Énergir does not make any profit on the price of the natural gas it supplies. The only service on which Énergir is authorized to make a profit is distribution. The price of the natural gas supplied is subject to monthly fluctuations. They account for about 30% of the gas bill of a business customer that consumes between 15,000 m3 and 50,000 m3, the consumption of an average-sized business.
To manage all aspects of gas supply more effectively, Énergir has also adopted a portfolio approach to gas purchases, actually buying from many different suppliers in order to diversify its sources geographically. Just one of the ways Énergir makes sure its customers enjoy the best price possible.
The purchase price of renewable natural gas (RNG) distributed by Énergir varies by supplier and is governed by contract. The annual price for RNG sold to our customers is based on the average of these contract amounts. The price is set annually as part of the Rate Case.
Unlike traditional natural gas, no Cap and Trade System (CATS) fees are added to your RNG consumption at this time.
Unit | December 1, 2022 | October 1, 2023 |
| Renewable natural gas supply | ||
$/GJ | 15.00 | 19.12 |
¢/m³ | 58.842 | 72.457 |
Fixed price
If you have opted for the fixed-price option for your natural gas supply service, you can still choose to consume RNG. Contact us for more information.
The natural gas bill is composed of five services: natural gas supply, transportation, load balancing, distribution and cap-and-trade emission allowances system. The natural gas supply price, can be stabilized with the fixed price service. If you are looking for budget stability then the fixed price service is for you.
About the fixed price service
The fixed price supply service is offered by natural gas suppliers. You can choose between the variable price offered by Énergir or the fixed price. The fixed price service can meet your need for financial stability since it targets the two most volatile services of your gas bill. You'll know in advance what price you'll pay for the natural gas supply . It can be compared to a fixed-rate mortgage. The main objective of the fixed price service is budget stability and not making savings. This service is offered to customers, like you, who consume a minimum of 7,500 m³ and a maximum of 1,168,000 m³ per year.
How does it work?
- You agree on a price and terms with the participating supplier of your choice and sign an undertaking document. Énergir receives a copy of this document and buys the natural gas on your behalf from the participating supplier for your agreed-upon price and term. To confirm your enrollment to the fixed price natural gas service, you must sign and return the Confirmation sheet that will be sent to you by Énergir, within the specified timeframe.To help you make an informed decision, take note that this confirmation sheet presents the history of the regulated monthly variable price.
- Énergir then bills you for the natural gas at the price you agreed upon for the term of the agreement, without any extra charges. It takes 60 days to implement this service after Énergir receives the undertaking document.
- If the participating supplier cannot meet its commitments, the client will revert automatically to Énergir's variable price because the fixed price service is not guaranteed by Énergir.
- To learn more, see the Frequently asked questions on fixed price.
Who are participating suppliers?
- The participating suppliers are independent companies that specialize in buying natural gas and reselling it to individuals and companies. The participating suppliers must abide by the minimum commercial practices established by Énergir. These practices ensure that the client is well informed and well served.
- You may opt for the participating supplier of your choice. We encourage you to be well informed before committing yourself.
Pricing
Our rate structure corresponds to a range of consumption profiles. The Régie de l'énergie approves, on an annual basis, the distribution revenues of Énergir and our rate breakdown. The Régie also approves the various rate structures and changes where applicable.
To understand the price of natural gas, you need to understand its six components: natural gas supply, transportation, load balancing, distribution, inventory-related adjustments and cap-and-trade emission allowances system.
Supply
The supply is the natural gas itself, the fuel. The price fluctuates according to market supply and demand. The supply price is modified monthly. We bill you the same as what we pay the producers.
Learn more on gas supply (PDF)
Transportation
This is the service that sends the natural gas through pipelines from the production sites to Quebec , the territory served by Énergir. The transportation prices are modified when Énergir transportation suppliers modify their own prices. We bill this service at the same price as what we pay the transportation companies.
Learn more on transportation (PDF)
Load balancing
Load balancing means managing the variations between summer and winter consumption and natural gas storage management. This component's price is modified annually, at the beginning of October. Énergir bills this component at the same price that the load balancing tools are bought from suppliers.
Learn more on load-balancing (PDF)
Distribution
This is the natural gas delivery service through our distribution network. You are assigned a rate based on your comsuption. The distribution price is modified annually. Énergir's earnings come exclusively from this component of your bill.
Learn more on distribution (PDF)
Cap-and-trade emission allowances services
The emission allowance cost for the natural gas combustion, which varies each month. Cap-and-Trade System is an economic tool of the Québec government aimed at reducing greenhouse gas emissions. Fuels consumed in Québec are covered by the Cap-and-Trade System through energy distributors like Énergir. The sums collected will be invested by the government in, among other things, measures aimed at combating climate change.
Two components, supply and cap and-trade emission allowances system, are not regulated and follow market supply and demand. Their prices are modified monthly (or quarterly in the case of cap-and-trade emission allowances system from january 1, 2024). The distribution, load balancing, transportation and gas from renewable sources supply services are reviewed each year by Énergir. Any change in the tariffs has to be approved by the Régie de l’énergie.
The Régie de l’énergie has approved Énergir’s Conditions of Service and Tariff. These terms apply to all of our customers and set out the conditions related to: natural gas services provided, billing and payment options, various applicable tariffs and rights and responsibilities.
Conditions of Service and Tariff effective as of December 1, 2023 (PDF)
Earlier versions
Effective as of December 1, 2022 (PDF)
Effective as of December 1, 2021 (PDF)
Effective as of December 1, 2020 (PDF)
Effective as of December 1, 2019 (PDF)
The distribution rate is the natural gas delivery service through our distribution network. You are assigned a rate based on your consumption. The general distribution rate (D1) is described below.
Applicability of the rate
- Offered to all
- No restrictions on level of consumption (no limit, no obligation to consume)
- Applicable to customers who do not have a sufficient volume to be eligible for other tariffs
- Advantageous for customers with an irregular or unpredictable consumption profile
Cost
The cost of the general distribution service is the sum of the two factors described below.
Basic fees
- Constitute the fixed portion of the bill
- Vary according to annual volume withdrawn
- Billed per metering equipment according to the number of days in the billing period
Unit price by volume withdrawn
- Variable portion of the bill
- Billed according to volume withdrawn during the billing period
- The higher the volume, the lower the unit price.
Volumes in excess of 100% of the subscribed volume
When the volume withdrawn during the billing period exceeds 100% of the subscribed volume, the excess volume is billed in accordance with the general distribution service D1.
Unauthorized withdrawals
A stiff penalty applies when the volume withdrawn during the billing period exceeds 150% of the subscribed volume.
Applicability of the rate
- A commitment to a subscribed volume of at least 333 m 3 per day
- Applicable to customers whose annual consumption volume is at least 75,000m 3 and whose utilization coefficient (annual volume divided by daily peak volume x 365 days) is at least 60%
- Advantageous for customers with a relatively stable monthly consumption profile
Cost of stable distribution service D 3
The cost of the stable distribution service D 3 is the sum of the elements described below.
Minimum daily obligation (MDO)
- Constitutes the fixed portion of the bill
- Established based on subscribed volume (SV)
- Billed based on the number of days in the billing period
- The cost goes down when the subscribed volume increases and the average unit price becomes advantageous when consumption is stable.
Unit price by volume withdrawn
- Variable portion of the bill
- Billed according to volume withdrawn during the billing period
- A reduction in the MDO, as well as the unit price on the volume withdrawn, is granted when the customer signs a contract with a term of at least 12 months.
Volumes in excess of 100% of the subscribed volume
When the volume withdrawn during the billing period exceeds 100% of the subscribed volume, the excess volume is billed in accordance with the general distribution service D 1 .
Unauthorized withdrawals
A stiff penalty applies when the volume withdrawn during the billing period exceeds 150% of the subscribed volume.
Revisions to subscribed volume
Depending on certain conditions, annual revisions may be made to the subscribed volume.
Combination rate
Combining Stable Rate D 3 with an interruptible tariff may be possible, depending on the annual volume withdrawn.
To help you better understand the different components of pricing, see the PDF document below.
Énergir offers gas supply, compressor fuel, load balancing and distribution services. Natural gas producers, transporters and brokers may also offer these services. The distribution service is, however, exclusively provided by theÉnergir network.
Who can prevail over unbundled Services?
All customers may, if they wish, purchase their natural gas supply service from the supplier of their choice. Also, according to predefined eligibility criteria, certain customers will be able to opt out of Énergir's transportation and load-balancing services.
Can several customers join together in associations in order to obtain the various services?
Under certain predetermined conditions, customers may join together for all of the services. The exception is the distribution service, for which no customer associations are permitted.
You have some questions about Énergir's credit policy and guidelines for commercial customers? This is the answers to the key questions you may have regarding Énergir's credit requirements and accepted types of guarantees.
Clientele addressed
If you find yourself in one of the following situations:
- you sign a contract to receive natural gas service
- you move to an address already supplied by natural gas
Énergir's criteria for decisions regarding credit evaluation
The first criterion Énergir uses in its credit evaluation process is the number of years you have been in business under the same legal entity. Here is a table summarizing Énergir's evaluation process.
Number of years in business under the same legal entity: Three years or less
- Énergir's evaluation: Énergir has based its risk evaluation on a study by the Ministry of Industry and Trade*
- Decision: Energir will require a deposit
More than three years under the same legal entity
- Énergir's evaluation: Énergir requires authorization to conduct a banking verification for credit evaluation purposes. In certain cases, financial statements may also be required. Énergir evaluates credit according to generally accepted practices concerning credit: the quality of banking references and financial statements, the payment history with Énergir at your other addresses supplied by natural gas (if applicable), the activity sector and degree of risk.
- Decision: Énergir may or may not require a deposit following this evaluation.
* Survival rate of businesses in Quebec and transition rate , Ministry of Industry and Commerce, Direction de l'analyse économique, March 2001
Accepted types of deposits
The deposit required by Énergir may take the following forms: a cash payment, a letter of guarantee issued by a financial institution and irrevocable for a three-year period or a surety subject to Énergir's approval.
Amount of deposit
The amount of the deposit required is determined based on an estimate, or the history of the volumes withdrawn at the service address. It shall not exceed the sum of the amounts of the highest two consecutive, historical or estimated, bills during a 12-month period.
Payment of deposit
The deposit must be paid before natural gas service begins. In the event that the natural gas service is already available to the customer at the service address, the payment is required at the due date indicated on the bill in order to ensure continuity of service.
What happens to a financial deposit?
Énergir holds your deposit in a trust account. Simple annual interest on the amount of your deposit will be credited to your invoice before January 30 of each year. The interest rate is adjusted annually on January 1st.
Do you have questions?
We invite you to get in touch with our Account management department, who will answer any questions you may have concerning Énergir's credit policy and guidelines for commercial customers.
Account Receivables Department
1717, du Havre Montreal (Quebec) H2K 2X3
Phone: 514 719-8222, outside Montreal 1 888 598-3117
Fax: 514 719-8137
[email protected]
The information presented here conforms to the Conditions of service and Tariff .
Grants available for your business
Take advantage of Energir grants to add or replace natural gas equipment and reduce your energy costs. In addition to offering a better performance, natural gas is cheaper than electricity and fuel-oil.
1 According to the prices in effect from July 1, 2021 to August 31, 2022. Based on Énergir rates and those of Hydro-Québec approved by the Régie de l’énergie; takes into account base electric consumption and rack price of oil with 2% sulfur including, in particular, transport, distribution and CATS.
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