How Rates Are Set

Union Gas is a regulated natural gas distribution utility. We are regulated by the Ontario Energy Board (OEB), the provincial agency that oversees energy-related issues and regulations. 

The price of natural gas

When Union Gas is your gas supplier, you pay what we pay for natural gas, without mark-up.

  • The price of natural gas is determined in an open market by supply and demand. We buy gas throughout the year to reduce price movement.
  • We review and adjust our rates in January, April, July, and October every year to reflect changes in the market price of natural gas.
  • The OEB reviews and approves all our delivery costs and gas rates before they can take effect, to ensure that the rates we pass on to you are fair and reasonable.

Gas delivery and distribution costs

As a distribution company, we earn our income from the distribution and storage of natural gas.

  • All customers are billed a fixed monthly charge that includes the costs of maintaining a safe gas distribution system 24 hours a day, every day, even if you purchase your gas supply from an energy marketer.
  • These charges are also regulated by the Ontario Energy Board.

View your natural gas rates


Watch these short videos to learn about your natural gas rates.

  • youtubeThe Journey of Natural Gas
  • youtubeUnderstanding Annual Rate Changes
  • youtubeUnderstanding Quarterly Rate Changes
  • youtubeEnergy Marketers