OCC FAQ: Explaining the Impact and Drivers of S&P Downgrades of Connecticut Utilities’ Credit Ratings

Natural Gas Glossary

British Thermal Unit - the quantity of heat required to raise the temperature of one pound of water 1 degree Fahrenheit at the maximum density of water.

Broker - A duly licensed gas supplier that assumes the contractual legal obligation to provide gas supply service to end-use retail customers, but does not take title to the gas.

Burner Tip - The point at which natural gas is available in the customer's home or business.

City Gate - The point at which   the Local Gas Distribution Company takes delivery of natural gas from an interstate pipeline.

Cubic Foot - in the measurement of gas supplied and metered to customers at standard delivery pressure, a cubic foot of gas is the volume of gas which, at the temperature and pressure existing in the meter, occupies one cubic foot.

Gas Company - every person owning, leasing, maintaining, operating, managing or controlling mains, pipes or other fixtures for the transmission or distribution of gas for sale within the state, or engaged in the manufacture of gas for distribution except a municipal gas utility.

Gas Main - a gas pipe owned, operated or maintained by a gas company.

Gas Odor - all gas supplied to customers has a distinctive odor to act as an indicator to its presence.  Any gas which does not naturally have such an odor must have an odorant added to it.

Gas Registrant - a person registered with the Department of Public Utility Control to sell natural gas to an end user in the state and is not a gas company, a municipal gas utility, or a gas pipeline or gas transmission company.

Gas Service - the piping and equipment that connect a gas main with the inlet connections of a gas meter on a customer's premises.

Interstate Delivery - A national network of pipelines that bring natural gas into a particular region.

Interstate Pipeline - A pipeline which transports gas across state lines.  Interstate pipelines are regulated by the Federal Energy Regulatory Commission.

LDC - Local Distribution Company, a state-regulated gas utility which delivers gas to end users within its service territory.

Pipeline Company - includes every person owning, leasing, maintaining, operating, managing or controlling mains, pipes or other fixtures for the transportation, transmission or distribution of petroleum products for hire within this state.

Purchased Gas Adjustment - represents the difference between the DPUC approved base rate and what suppliers charge the company for the gas purchased.  As the cost of gas varies, the PGA amount on the bill will increase or decrease.

Therm - a unit of heating value equivalent to one hundred thousand British thermal units.

Transportation Service - Term used to refer to both interstate pipeline transportation service and the distribution service provided by local gas utilities; the delivery of natural gas to your home or business.

Wellhead - The site at which natural gas comes out of the ground, typically used as a pricing point for the gas commodity.

Natural Gas