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Understanding Natural Gas Rates

In New Brunswick, natural gas is provided in an "unbundled market" - which means the cost of distributing natural gas is separated from the cost of supply.

1. Distribution Rates & Tariffs
The cost of using the company’s distribution network which is the pipeline system that distributes natural gas to you. Your rates and tariffs depend on which rate class you fit into.

  • A minimum monthly distribution charge is required by all customers, to cover some of the fixed costs of providing natural gas service, like meter readings, pipeline maintenance, customer support, and 24-hour emergency services. 

2. Commodity Rate
The cost of the natural gas that you consume. It is also referred to as the “Supply.” You can have Enbridge Gas New Brunswick, the regulated utility, supply your natural gas or you can sign a contract for gas supply with an independent Gas Marketer licensed by the New Brunswick Energy and Utilities Board. 

Your total monthly cost of natural gas will change depending on the amount of GJ’s you use every month.

Natural gas is measured in Gigajoules (GJ), a metric energy measure. So one GJ of natural gas is roughly equal to 26 litres of fuel oil, 40 litres of propane, or 278 kilowatt hours of electricity.


Regulation of the Rates 

The New Brunswick Energy and Utilities Board (EUB) is empowered under the Gas Distribution Act, 1999, with the responsibility of regulating the natural gas industry in New Brunswick. This responsibility includes approval of applications for rates and tariffs (as well as pipeline construction and gas marketer's certificates).  

In accordance with the Gas Distribution Act, Enbridge Gas New Brunswick Handbook of Rates and Distribution Services(pdf) defines the various natural gas rate classes, associated rates and the scope and application of certain policies relating to our distribution system in New Brunswick.

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