Customer Incentive Programs

The Contractor Management Program offers residential customers an opportunity to work with Bangor Gas to obtain a licensed independent contractor to convert their systems to natural gas.

Service Extension Allowance Program

I. Program Summary

The Bangor Gas Service Extension Allowance Program is designed to offer residential and commerical customers willing to convert appliances and equipment to natural gas, a free footage allowance for the service extension based on the end use and input rating of the equipment to be connected to the natural gas distribution system. The length of the service extension is measured from the customer property line to the meter set location following the actual route required.

The total cost to install a service extension connecting a residence or commercial building to the natural gas distribution system coupled with the expense of converting exisiting appliances to natural gas or installing new equipment or appliances capable of utilizing natural gas as the primary fuel, can severly limit the number of potential customers who are willing to make the necessary investment.

Bangor Gas believes providing an allowance program whereby the cost of the service extension is offset based on the type of end use and input rating of the equipment to be connected to the distribution system results in a positive assessment by the customer of the overall value received.

II. Description of the Bangor Gas Service Extension Allowance Program

The Bangor Gas Service Extension Allowance Program is designed to reward residential and commercial customers through a program whereby the estimated annual usage associated with specific end use appliances and equipment is used to determine associated revenue that will be used to amortize the initial cost of installing the service extension and meter set. Bangor Gas uses five years transportation margin to determine the maximum allowance that will be provided.

Procedures:

  • Customer signs a Bangor Gas - Gas Service Application
  • Bangor Gas prepares a Cost Exhibit to determine the free footage allowance on the customers willingness to convert or install end use appliances and equipment. (Typically, conversion of space heating equipment provides approximately 100 feet of free service.)
  • Service extension footage required in excess of the free footage allowance will be paid for by the customer through a Contribution in Aid of Construction (CIAC).
  • Customer signs a Bangor Gas Service Agreement, thereby agreeing to the installation of the service line and payment of any CIAC.
  • Bangor Gas installs the service and metering facilities in conjuction with the customers conversion to natural gas as specified in the Gas Service Agreement.

III. Overall Program Benefits

Bangor Gas Service Extension Allowance Program will have positive effects for all Bangor Gas ratepayers. The Service Extension Allowance Program is needed to encourage and accelerate early gas service commitments. Early commitment to gas service by customers will have a positive effect on overall system utilization.