Natural Gas Supply Charges - Alternatives?

stickyfingers on 03/01/2018 - 22:48

My partner and I have recently moved into a rental property with a natural gas mains connection.
The natural gas is used for the gas stove top which isn't used very often as we use a standalone induction cooktop and the hot water system.

After just receiving our first bill for the premises I was expecting a lot to go towards the supply charge, but in our case, the supply charge cost is over 3x the usage charge for the period.
This all really adds up when you take into account that we're paying an almost equivalent supply charge for electricity. In our case, in a one bedroom house, an electric hot water tank would work out significantly cheaper so it puzzles me why a gas system would be installed.

Short of heating water up in a kettle or having cold showers is there any alternative to paying the supply charge for gas really only need to power 2 persons worth of hot water?

Home & Garden

Comments

  • Coldestpants on 03/01/2018 - 23:45
    -3

    Get and extension lead and find your neighbours closest powerpoint :)

  • Coldestpants on 03/01/2018 - 23:49
    -2

    Or move down south i hear its heaps cheaper

  • OzBestDeal on 04/01/2018 - 00:01

    Is the hot water system use electric or gas?
    If it's on electric, just disconnect the gas (not sure if this is possible, next tenant might need to pay for reconnection though)

    • stickyfingers on 04/01/2018 - 00:51

      The hot water is gas, which is the reason we haven't disconnected yet. I wonder if it's possible to easily switch it to use LPG…

      • OzBestDeal on 04/01/2018 - 02:00
        +1

        Not sure about water heater, but LPG and NG room heaters are different and not interchangeable

  • follow on 04/01/2018 - 01:21

    hmmm in wa origin don't charge supply. not sure what state u in

    • stickyfingers on 04/01/2018 - 01:53

      QLD with Origin

    • bonezAU on 07/01/2018 - 02:33

      hmmm in wa origin don't charge supply. not sure what state u in

      Uhh, yes they do. The supply charge is passed on to all retailers by the pipe owners (ATCO).
      It's the actual usage that can be discounted/charged differently by each retailer.

      You can't avoid the supply charge if you have gas connected to your premises.

  • poboy on 04/01/2018 - 07:26
    +1

    You're stuck with it unless you update your appliances and disconnect the service.

    • JimmyF on 04/01/2018 - 09:17
      +1

      but its a rental…….

  • JimmyF on 04/01/2018 - 09:17
    +1

    My partner and I have recently moved into a rental property with a natural gas mains connection.

    is there any alternative to paying the supply charge for gas

    Then you have no say in this and must continue with the gas path.

    Even if you don't use any gas, the supply charge is still charged, the only way to not get the supply charge, is to have the gas meter removed. But this is a rental, so you can't do that.

    • stickyfingers on 04/01/2018 - 18:17

      As far as I know, I can cancel the connection. Might just have to consider cold showers.

      • JimmyF on 04/01/2018 - 20:15

        You can cancel the connection for sure, but in a few months you'll start receiving letters addressed "to the occupier", and these will be for supply charges, or thats how it works in the east.

        As you are the occupier during this time, these are your bills.

        As I said, the only way for these to stop is to have the meter removed but as a rental you can't do that, as there are costs to have to removed and installed again for the next renter.

        So even if you 'cancel' the bill, the gas company is still supplying a gas connect/meter to the property, so supply charges are charged.

        I would love to say there is some magic answer, but there isn't.

        • stickyfingers on 04/01/2018 - 21:58

          Wow, we're really tied in then. Didn't know that, thanks!

        • JimmyF on 05/01/2018 - 09:33

          @stickyfingers: Yeah it's an interesting arrangement and you're tied in. I kinda understand why. As the meter is still 'installed' guess, so they are still provided the 'supply' side of the arrangement.

          That said, your gas company MAYBE different to the ones I've used, so ring them up and ask what happens if you cancel and will they continue to charge you supply charges in 3 or 6 months time.

          If they say no charges, then you can go down this path. I just wanted to warn you before hand.

        • stickyfingers on 05/01/2018 - 17:03

          @JimmyF: Thanks, I'll give them a call just to see. It doesn't put tenants in the greatest position as they cannot get the meter removed but are responsible the fees for it being installed.

        • JimmyF on 05/01/2018 - 18:02
          +1

          @stickyfingers: Things you'll check next time before signing a lease. Most people don't care like you do and just pay the bill!

        • stickyfingers on 07/01/2018 - 02:26
          +1

          @JimmyF: Absolutely. Will definitely be something we look for next time!

        • bonezAU on 07/01/2018 - 02:37
          +1

          As I said, the only way for these to stop is to have the meter removed

          In WA, if you cancel your gas account, the gas company comes around, turns off the tap in the meter box and puts a big sign on it saying "Do not remove - it is an offence to remove this tag, contact your retailer to set up an account".

          They don't remove the meter itself. Not sure what happens in other states, but that's how it works here. If you ignore the tag and turn the tap back on, you could be liable for fines and all of the usage since it was officially turned off (they take a final reading before tagging it).

        • JimmyF on 07/01/2018 - 10:02

          @bonezAU:

          In WA, if you cancel your gas account, the gas company comes around, turns off the tap in the meter box and puts a big sign on it saying "Do not remove - it is an offence to remove this tag, contact your retailer to set up an account".

          Good to know!

          In the east nothing like that happens (it should), the only way to stop bills is to have it removed.

        • stickyfingers on 15/01/2018 - 15:52
          +1

          Update: I’ve just called Origin and they had no issues disconnecting the gas. They also confirmed I will not be liable for supply charges after the disconnection date later this week.

          I did however have to pay an $11 disconnection fee.

        • JimmyF on 16/01/2018 - 10:05

          @stickyfingers: Nice work!!! Great to hear.

          So cold showers coming up?

        • theguyrules on 16/01/2018 - 10:07

          @JimmyF: Probably fine in this temp, but winter will be painful.

        • stickyfingers on 16/01/2018 - 19:05
          +2

          @JimmyF: That's the plan.
          @theguyrules: We'll be out well before winter, but I agree. It'd suck.

  • theguyrules on 04/01/2018 - 09:24
    +2

    Not much you can do.
    I don't like gas for the same reason.

  • [Deactivated] on 04/01/2018 - 16:24
    +1

    I produce enough natural gas myself, why would you buy it from someone else?

  • mysterytal on 04/01/2018 - 20:16

    How are you going to heat the property in winter?

    • stickyfingers on 04/01/2018 - 21:58
      +1

      We'll be out of the property by then, QLD winters aren't usually cold enough to justify heating, and there's reverse cycle AC.

      • mysterytal on 05/01/2018 - 13:07

        I don't understand why you would have gas in a small property in Queensland without any real need for heating.

        Gas is generally much cheaper than electricity but taking into account inefficiencies of heating water with gas and the standing charges it works out about the same as electricity.

        I'd move.

        If you've got a health care card the standing charges can be removed or reduced.

        • stickyfingers on 05/01/2018 - 17:02

          You're telling me! You'd think on such a small property if you were to put in gas it'd be bottled LPG. We won't be making the mistake of getting a natural gas property again.

          If you've got a health care card the standing charges can be removed or reduced.

          What do you mean by standing charges?

        • mysterytal on 05/01/2018 - 17:17

          @stickyfingers:

          Sorry wrong words…. I meant the daily supply charge.

        • ash7503 on 19/03/2018 - 00:14

          @mysterytal: Which gas and/or electricity company removes the daily supply charges?

  • do minator on 05/01/2018 - 04:08
    +1

    I had the same problem with my previous rental place where I canceled my natural gas account with AGL but would still receive bills. I talked to customer service and they told me I didn't have to pay it so even though I still received them every few months (the bill was basically only supply charge and 0 usage) I didn't pay anything. I've since moved out from there so I'm not sure what happened to the amount owing although in my case the hot water and gas were separate so I still had to pay a supply charge for hot water and electricity.

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