If you live in a state with energy choice like New York or Pennsylvania, you may be able to buy natural gas from a licensed third-party supplier rather than your local utility. A third-party supplier provides the gas you consume, but your utility will still be the one delivering it to your home or business. They’ll also be responsible for maintaining the gas lines and responding to emergencies.
If you’re interested in shopping for natural gas, this short guide will tell you everything you need to know. We’ll walk you through each step, explaining how to confirm that supplier choice is available through your utility, review your contract, compare available rates, and choose a supplier that meets your needs.
What Does It Mean to “Shop” for Natural Gas?
Shopping for natural gas means choosing which company supplies the natural gas your utility delivers to you. Energy delivery refers to the actual natural gas being sent to your home. Your utility owns and maintains the infrastructure connecting your property to the gas system, including pipelines and meters. They also handle meter readings, line repairs, and gas emergencies.
Energy supply refers to the natural gas you purchase from a supplier. They purchase it through wholesale markets and offer it to you through different supply plans. Choosing a supplier doesn’t change who delivers your gas. Your local utility will still handle the physical delivery regardless of which supplier you choose.
Is Natural Gas Choice Available Where I Live?
Whether or not you can choose your natural gas supplier depends on your state and local utility territory. Living in a state with a deregulated natural gas market doesn’t automatically mean every household can choose a third-party supplier.
Agway® serves participating utility territories throughout New York and Pennsylvania. Checking your ZIP code and utility is the quickest way to find out if service is available at your address. You can also use the official state shopping resources for New York and Pennsylvania to review natural gas suppliers in your area.
How to Shop for Natural Gas in 5 Steps
Shopping for a natural gas supplier is easier when you compare beyond the advertised rate. Follow these five steps to choose a new plan.
Find Your Current Supplier
Start by looking at the supply section of your natural gas bill to determine whether your gas comes from your utility or a third-party supplier. If you already have a third-party supplier, note their name, current rate, and contact information.
Review Your Current Contract
Before switching, review your existing contract. Check details like:
- Your contract end date
- Your current rate
- Whether your rate is fixed or variable
- Any early termination fees
- Renewal terms
- Required notice before cancellation
Many suppliers also provide value-added services as part of your agreement. Before switching providers, go through your contact to see what other benefits you might be receiving, if any, beyond your natural gas supply.
Confirm Which Suppliers Serve Your Utility Territory
Supplier availability can vary between states and within state, so search by ZIP code and utility rather than only looking at statewide providers. Use your state’s comparison tool or visit supplier websites directly to see if they serve your address.
Choose a Supplier and Enroll
Once you’ve chosen a new supplier, you’ll need to provide them with some information to complete enrollment. This may include your service address, account number, utility company, and other contract information.
Your new supplier will then coordinate the change with your utility. You typically won’t need new gas lines, a new meter, or an appointment at your home.
Check Your Next Bill
Supplier changes may take time to appear depending on your utility’s billing cycle. Review your upcoming bills to confirm that the correct supplier and rate are listed. Your utility will remain on the bill since it’s responsible for delivering natural gas to your property.
What to Look for in a Natural Gas Supplier
A good comparison between natural gas suppliers should consider the full customer experience, not just the advertised rate.
Clear Contract Terms
Any contract you sign should be clearly written. You should know exactly how long your agreement lasts, whether your rate is fixed or variable, and what happens when the contract expires. You should also check for any cancellation fees, monthly charges, renewal requirements, and other conditions before signing.
Fixed vs. Variable Rates
A fixed rate stays the same for the length of the contract. Your total bill can still change based on taxes, service feed, utility delivery charges, and how much natural gas you use. A variable rate can change according to the terms of your plan and market conditions. You should check to see how frequently gas prices can change before choosing this type of agreement.
Reliable Natural Gas Supply
Your supplier purchases natural gas and provides it to your utility for delivery. Look for an established supplier with experience serving customers in your area.
Customer Service
You should easily be able to contact a representative if you have questions about your plan, contract, or account. Customer support is particularly important when your contract is approaching renewal or you need help understanding a charge.
Value Beyond Supply
Some suppliers offer additional services along with natural gas supply. In addition to providing reliable natural gas and electricity supply, Agway also offers EnergyGuard to all of its customers as an included benefit. It’s a repair program that helps cover qualifying damage caused by wear and tear on covered systems.*
Typical insurance policies generally don’t cover this type of damage, but it can increase long-term costs considerably, making EnergyGuard an important factor to consider when comparing suppliers. If your covered heating system breaks down, call Agway first. If the repair is covered, we’ll send a technician to your door as soon as possible.
Ready to Compare?
Shopping around for natural gas gives you the opportunity to choose a supplier based on contract terms, rate structure, reliability, and other benefits.
Agway Energy Services® provides reliable natural gas supply to homeowners and small businesses in participating areas of New York and Pennsylvania. All Agway customers receive EnergyGuard as well. For natural gas customers, that includes qualifying wear-and-tear repairs to furnaces and boilers.* If a covered repair is needed, Agway coordinates service with the first available technician.
Check whether Agway serves your utility territory and compare available natural gas plans to find an option that fits your needs.
*Coverage depends on commodity purchased.
Natural Gas Shopping FAQs
How can I find out the current price for natural gas?
Natural gas supply rates change frequently, so use a current state comparison resource to check current pricing. You can find your utility’s current supply rate on your bill or supplier’s website. New York residents can use NYS Power to Choose and Pennsylvania residents can use the PUC’s PAGasSwitch website to review supplier offers in their area.
Will switching natural gas suppliers interrupt my service?
No, switching natural gas suppliers should not interrupt your service. Your local utility continues delivering gas through the same pipelines even during the transition.
When is the best time to shop for natural gas?
The best times to shop for natural gas are before your current contract expires or when you’re moving into a new service area. Give yourself enough time to review contract terms and learn about any early termination or renewal requirements before making a change.
What happens when my current natural gas contract expires?
What happens depends on your supplier, contract terms, and state requirements. You may be able to renew your agreement, switch to another supplier, or return to your utility’s default supply service.
What’s the difference between supply and delivery charges on my natural gas bill?
The supply charge covers the natural gas you purchase from your supplier or utility. The delivery charge comes from your utility and covers the infrastructure and services needed to transport that gas to your property.
What’s the difference between a fixed and variable natural gas rate?
A fixed rate remains the same during the contract term, providing more consistency in the supply rate you pay. A variable rate can change according to your agreement and market conditions.
What’s cheaper to run my house: natural gas or electric?
Neither gas or electricity is inherently cheaper. Costs depend on local energy rates, climate, equipment efficiency, the size and insulation of your home, and which systems or devices you’re comparing. Natural gas can offer advantages for heating, cooking, and other household uses, but comparing the benefits of natural gas with your available electric options can help you evaluate what makes sense for your home.
