Rights and Responsibilities
Your gas usage is billed monthly based on either actual or estimated meter readings. Normally, your bill includes:
- Basic monthly charge, regardless of usage
- Charges for the quantity of gas used
- The Purchased Gas Adjustment (PGA)
- State Retail Sales Tax where applicable – A tax is assessed on customer's usage by the State of Maryland in the form of sales tax on the dollar amount of the bill. The present rate is 5%. This tax is collected by the Company and forwarded to the proper jurisdiction. No sales tax is collected on residential accounts.
Your bill may also include:
- Past due and transferred amounts
When a residential or commercial customer uses gas for cooling or pool heating in the summer, all gas used per month during the months of May through October may be billed at a reduced rate per CCF. Customers should notify Elkton Gas of any changes in their natural gas usage.
Verifying the Accuracy of Your Bill
Customers may verify the accuracy of their bills as follows:
- Call the Company office for an explanation by a representative.
- Visit the Company office for a personal discussion of the bill.
- Write the Company, either through regular mail or by email to email@example.com requesting an explanation of the bill.
Purchased Gas Adjustment
The Purchased Gas Adjustment (PGA) was established with the permission of the Maryland Public Service Commission. The PGA provides for the collection or refund of increased or lowered prices that Elkton Gas must pay its supplier to purchase gas. The costs included in computing the PGA are gas costs only and are on a dollar for dollar basis without any profit for the Company.
Customer Payment Policies
Because your bill is based upon past usage, it is due when rendered. However, we provide a grace period of 20 days for the payment of the amount due. If the total amount due is not paid by the date listed on the bill under "Amount Due", a late charge may be applied equal to 1.5% of the net bill. Upon request, we will waive no more than two late payment charges during any 12-month period. In addition, we may, at our discretion, make other credit extensions when abnormal circumstances exist. Such conditions that may warrant special considerations are hardship, claims of late delivery of bill, etc.
If for any reason, you find it impossible to pay a bill on time, please contact our office immediately. In many cases, we can make special payment arrangements.
Residential Security Deposits
Uncollectible final bills impose an unfair burden on those customers who do pay their bills. The purpose of a security deposit is to guarantee the payment of the final bill. The deposit is not intended to pay current bills, nor can it be used for that purpose. Placing a deposit is one way in which an applicant for gas service may establish his or her credit. In lieu of a deposit, a new permanent residential applicant's credit may be established on the basis of any one of several methods:
- Good Paying Habits: The applicant has been a customer of another utility in Maryland during the last two years, owes no outstanding bills, has had no terminations of service during the 12 months that service was provided, and has been late in paying bills not more than two times in the last 12 months that service was provided.
- Guarantor: The applicant furnished a guarantor satisfactory to the Company. The guaranty will be in writing and shall be in force for one year or until credit is otherwise established.
- Senior Citizens: An applicant 60 years or older is exempt from paying a security deposit. To qualify, the applicant must provide proof of age, must establish the account in the same name, and must assure that no overdue bills are owed to a utility company.
An applicant who was formerly a customer of the Company at another address may be required to place a deposit if the applicant had a poor payment record at the previous address or if the conditions under which the customer's credit was originally established have materially changed.
If you have no deposit with us, you, as a customer, may be required to place a deposit if your gas has been disconnected for non-payment, or if payment of an overdue bill is not received by the expiration date of a turn-off notice rendered to you.