Illinois · Gas
Illinois gas suppliers: Nicor, Peoples Gas and North Shore
Written by Judy
· 6 min read
In parts of Illinois, you can buy your home's gas from a company other than your gas utility. Sellers call it a great deal. Sometimes it is. Often it is not. Here is how it works, what the rules say, and how to protect yourself.
Who can pick a gas supplier in Illinois?
The Illinois Commerce Commission (ICC) is the state agency that oversees utilities. It says three gas utilities let customers buy gas from another company:
- Nicor Gas
- Peoples Gas
- North Shore Gas
The other company is called an alternative gas supplier, or just a supplier. If your gas comes from a different utility, the ICC does not list it for gas choice.
Nicor calls its program Customer Select®. Nicor says it is "a voluntary, free program." You never have to join.
What stays with my gas company?
Switching only changes who sets the price for the gas you use. The ICC says: "your local natural gas utility will continue to deliver the gas to your home or business."
It also says your utility "is responsible for responding to your natural gas safety concerns." So if you smell gas, you still call your gas utility.
Nicor adds that it still "operates and maintains natural gas pipes, reads meters and distributes natural gas to certified marketers."
What price do I pay if I never switched?
If you never picked a supplier, you pay your gas utility's own price for gas. The ICC calls it the Purchased Gas Adjustment, or PGA. On your bill it may be called "Natural Gas Cost" (Nicor) or "Gas Charge" (Peoples Gas and North Shore Gas).
Two things to know about it:
- It changes. The ICC says these charges "can vary from month to month."
- The utility doesn't profit on it. The ICC says: "Gas utilities do not profit from the price of gas; it must be passed on to consumers without markup."
A supplier's price is different. Nicor puts it plainly: its own prices are regulated by the ICC, "but prices from other suppliers, as well as the terms and conditions of their contracts are not regulated by the ICC."
How is gas priced in Illinois?
Illinois gas is priced per therm. A therm is a unit of heat. Your bill turns the gas your meter measured into therms, so you can compare prices per therm.
The ICC lists three kinds of supplier plans:
- Variable price. "The price per therm can change monthly, weekly or daily depending on market conditions or other factors."
- Fixed price. Gas is "billed at the same amount per therm for a specified period of time."
- Fixed bill. "A customer will pay the same amount every month for a set period of time."
A fixed bill can sound simple. But you pay it in summer too, when you hardly use gas. The ICC notes that winter use can be "nearly ten times higher in winter months than in summer months." Before you sign a fixed bill plan, add up a full year and compare it with what you paid last year.
For more on these choices, see Fixed vs variable electric rates. The same ideas apply to gas.
How do I compare a gas offer?
The ICC's advice is to "ask questions and make sure you understand the price, terms and conditions before agreeing to a contract."
Here is what I check:
- The price per therm, next to your utility's price this month.
- Fixed, variable or fixed bill? If variable, how is the price set?
- Any monthly fee on top of the price.
- How long the contract lasts, and what happens when it ends.
- How the offer compares over a whole year, not just one month. Your utility's price moves, so one month can fool you.
The ICC posts the gas offers for each utility on its natural gas choice page (opens a new tab).
Can I change my mind after I sign up?
Yes. After you sign up, your gas utility sends you a notice to confirm the switch.
The ICC says: "Consumers have the right to rescind their agreement without penalty within 10 business days after the date on the gas utility notice to the customer." To rescind means to cancel. Business days don't count weekends or holidays.
State law (220 ILCS 5/19-115 (opens a new tab)) also says you can call the gas utility or the supplier to cancel in that time. And the utility can't make the switch until 10 business days after the date on that notice.
Is there a fee to leave a gas supplier?
No, not for your home. Since January 1, 2020, Illinois law has said home customers "shall have a right to terminate their agreements with alternative gas suppliers at any time without any termination fees or penalties."
The ICC says the same thing: a supplier "must allow customers to cancel without an early termination fee." You still pay for the gas you already used.
If a supplier tells you there is a fee to leave, or tries to charge one, call the ICC at 1-800-524-0795.
Can I go back to my gas utility?
Yes. But Nicor has a rule to know about. Nicor says: "Once you return to service with Nicor Gas, you will have 120 days to choose another supplier or you will remain on Nicor Gas service for one year."
If you are with Peoples Gas or North Shore Gas, ask your utility if a rule like this applies to you.
Switching takes time, too. Nicor says there is "a 14-day waiting period" before your account can be set up with a supplier. You start getting gas from the new company after your next meter reading.
How do I stop gas sales calls and visits?
You can ask to be put on your utility's do-not-contact list. Suppliers are not supposed to call or visit people on it. The ICC lists these numbers:
- Nicor Gas: 1-888-642-6748
- North Shore Gas: 1-866-556-6004
- Peoples Gas: 1-866-556-6001
A salesperson at your door must tell you their name, their company's name and phone number, and how to reach the ICC. For more on door visits, see What to do when an energy salesman knocks.
What to do next
- Get a free check. Send me your gas bill at the free check. I'll compare your price with your utility's price and the offers the state lists.
- See your gas company's page: Nicor Gas, Peoples Gas or North Shore Gas.
- All of Illinois: see the Illinois page.
- Not sure if you already have a supplier? Read Who is my electric supplier? How to tell from your bill. It covers gas too.
Who to call with questions
- Your gas utility: the phone number is on your bill.
- The Illinois Commerce Commission: 1-800-524-0795.
- The Citizens Utility Board (CUB): 1-800-669-5556.
Judy Saves will never call you or knock on your door. If someone asks for your gas bill or account number, you can say no.