Atlanta Phoenix Gas
NATURAL GAS SHOPPING GUIDE

Fixed vs. variable natural gas plans

A fixed plan provides a therm price for a stated term. A variable plan can change price from month to month. Neither guarantees the same total bill every month.

Start here

Compare the duration of the price, fees and cancellation terms. A short variable introduction should not be compared as if it were a full-year fixed rate.

What changes between the two?

How fixed and variable plans differ
What to checkFixedVariable
Therm priceSet for the stated contract termCan change monthly
Monthly billChanges with usage and other bill chargesChanges with usage, price and other bill charges
CommitmentCheck the term and early cancellation feeCheck the plan’s terms and any applicable fees
End of offerReview the renewal notice and optionsCheck when an introductory price ends

The Georgia PSC’s fixed-plan guidance ↗ explains that a fixed rate differs from budget billing. Your usage still changes, so a fixed price per therm does not fix the bill amount.

Put a price change into dollars

WORKED EXAMPLE · NOT CURRENT OFFERS

Same usage, different supply cost

At 100 therms in a month, a 70¢ fixed rate produces $70 of gas supply cost. A variable rate of 60¢ produces $60; a variable rate of $1.20 produces $120.

With the same $7 monthly service fee, those marketer costs become $77, $67 and $127. AGL delivery, taxes and other applicable charges are additional.

These are hypothetical prices, not predictions. A variable price can be below or above the fixed price; its current price cannot establish which will cost less over the next year.

For a changing rate, calculate each month separately: monthly therms × that month’s rate + that month’s fee, then add the months. A high winter price has a larger effect when heating usage is high.

Look past the introductory variable rate

An offer advertising 39¢ for one month gives you one month at that price, subject to its terms. It does not give you a year at 39¢. Check the number of bills covered, the fee during the introduction and the pricing that follows.

Our comparison tool separates fixed and variable results. Select “Variable” to see the saved variable-rate snapshot and introductions. Those current post-intro prices are reference points, not future guarantees.

Choose around your needs and the actual offer

If predictable supply pricing matters to you, compare fixed plans across the time you expect to keep service. Check cancellation terms if you may move before the contract ends. If you choose variable pricing, plan to review the price on each bill and compare alternatives when it changes.

There is no universally cheapest plan type. Your usage, fees, eligibility and future variable prices all affect the result. Review the written terms before enrolling; the PSC’s marketer-shopping checklist ↗ is a useful reference.

Compare plans for your home

Enter your annual therm usage or estimate it from your home. Compare SCANA Energy, Georgia Natural Gas, Constellation and Gas South.

Use the gas comparison tool →