Natural gas has become an increasingly relied upon source of energy in the transportation industry. Over 11 million vehicles on the road across the world use natural gas as a fuel. It can be used in a compressed or liquefied state for powering buses, trucks, taxis, and cars, further diversifying our reliance on oil as the sole arbiter of our energy consumption.
What is natural gas?
Natural gas is a fossil fuel that comes from decayed, heated, and pressurized organic matter that gets trapped inside rock formations deep underground. It is often found near oil deposits and can effervesce from the oil itself. During the industrial revolution, harvesting this form of fuel was technologically and economically prohibitive, so oil drilling companies would simply burn off the unwanted excess. Today, however, we can access natural gas much more effectively. Still, many people will have concerns over pricing.
The Price of Natural Gas
This fuel is safe, stable, and useful in many industries. Finding a commercial natural gas supply for firm fixed gas can be difficult, however, as the industry is still not universally accessible. There are two different pricing structures that you can expect depending on where you get your commercial natural gas supply.
Firm fixed natural gas prices are structured so that the price you pay in winter is the price you pay in summer. Non-fixed prices fluctuate depending on the market value.
Choosing a non-fixed gas price structure essentially leaves you at the whim of the utility companies, while fixed prices give you consistent knowledge of what you will be paying year round. Businesses would do well choosing a fixed price structure so they can factor predictable numbers in their budget.
For people who have cars running on natural gas, the choice might not be so clear. The way fixed prices work means that sometimes the market price will be lower than the fixed price, and sometimes it will be higher. The more gas you plan on using, the more weight this decision has, so contact your local utilities company and your independent commercial natural gas supplier for a full price comparison.