Frequently Asked Questions
Renewable Natural Gas
Renewable energy is any source of energy that can be renewed naturally fast enough to be considered inexhaustible within the human time scale.
- Biogas (RNG)
- Solar power
- Wind power
- Hydropower
- Geothermal power
- Tidal power
As defined in the Act respecting the Régie de l’énergie, “methane from renewable sources with interchangeability characteristics that allow it to be delivered by a natural gas distribution system”.
RNG is natural gas produced from organic waste (biomass) from farms, forests, landfill sites and water treatment plants. The gas is captured, cleaned and injected into the gas distribution system to be used for the same applications as conventional natural gas: heating, hot water, drying, BBQs, fireplaces, etc.
When a customer purchases a certain volume of RNG, that amount will be injected into the natural gas distribution system supplying that customer. Once injected, the RNG blends with the conventional natural gas in the distribution system supplying all of the customers. There is no separate distribution system for providing RNG directly to the customer’s address. Purchasing RNG means that the customer is buying the green attributes of that product.
- Completely renewable
- Replaces fossil energy with renewable energy
- Avoids methane emissions from buried organic waste
- Voluntary and flexible: For now, anyone buying RNG does so on a voluntary basis. Customers can choose to take 1% to 100% of their natural gas consumption as RNG.
- Clean and eco-friendly: RNG enables customers to reduce their carbon footprint and to take action.
- No change in equipment! This energy source is distributed and used in the same way as conventional natural gas, but it’s green!
- Without the production of RNG, gas generated by our household waste would be released into the atmosphere as methane (which is 25 times more harmful than CO2 during combustion) or burned in biomethanization plants, with the same impact in terms of GHG as when the gas is consumed as natural gas.
- In order to avoid those two scenarios, we give that gas a second life by recovering, cleaning and injecting it into the natural gas system to replace fossil-derived natural gas. Thus, valorizing our waste is the perfect example of the circular economy because we use that gas as a source of energy. As a result, we can confirm that RNG is carbon neutral as it does not contribute to the increase in greenhouse gases.
From 2020 to 2022, Gazifère injected 1% of RNG into its network, then 2% in 2023 to gradually reach 5% from 2025. This percentage is a provincial obligation, which does not prevent us from increasing it more quickly if demand is strong and supply is available.
You can choose to attribute anywhere from 1 to 100% of your consumption to the RNG rate. Bear in mind that the Government of Quebec has asked [1] Gazifère to deliver 2% of RNG in 2023, and that the costs associated with that obligation may be allocated to all customers if the 2% goal is not met through voluntary purchases.
By opting for the RNG rate, you are voluntarily contributing to the goal, and by agreeing to at least 2% monthly, which comes to 24% annually (the monthly percentage chosen by the customer (%) multiplied by the number of months), you will have paid off your part of that obligation.
If Gazifère is unable to sell enough RNG to its customers through voluntary purchases, it will have to bill them to meet its obligation, but you will be exempted because you opted for the monthly 2% at the RNG rate (the equivalent of 24% annually). The Régie de l’énergie has approved the exemption of customers who, in 2023, purchased the equivalent of 2% RNG monthly, from RNG-related rate adjustment for 2023.
[1] Règlement concernant la quantité de gaz naturel renouvelable devant être livrée par un distributeur : https://legisquebec.gouv.qc.ca/fr/ShowDoc/cr/R-6.01,%20r.%204.3
Given that no injectable RNG production project for the distribution system was available for Gazifère’s territory when it purchased RNG for 2023, the company intends to conclude a contract with a green energy producer for all of its requirements at the best possible price for meeting its new obligation to inject 2% of RNG into its distribution system.
Gazifère bills customers for their total monthly consumption, and uses a rate rider to calculate the extra cost related to RNG consumption. The rate rider represents the cost of RNG, which is then applied to the volume associated with the percentage of RNG chosen by the customer.
Thus, the price of RNG will not fluctuate this year because Gazifère intends to conclude an annual supply contract at a fixed cost.
That being said, the RNG rate is billed based on a rate rider, which varies quarterly because it takes into account adjustments related to the cost of transportation, gas cost and carbon emission credits.
Eight rate riders have been created to accommodate Gazifère customers’ different situations based on the necessary adjustments related to the above cost and credits. In brief, Gazifère plans to proceed in much the same way as it does for carbon emission credits on customers’ bills.
A calculator is available on our Web site at www.gazifere.com to easily estimate the percentage point cost of RNG.
The Inspiring Energy initiative promoted by Gazifère aims to encourage the use of green energies such as renewable natural gas and hydrogen. It also aims to foster a culture of energy efficiency and greater awareness among individuals and communities about the positive environmental impact of those changes.
Adjustement of the cost of renewable natural gas (RNG)
The charges associated with the acquisition of RNG are derived from the Government of Québec Regulation regarding the minimum quantity of renewable natural gas to be delivered by a distributor and aims to make Québec a leader in the field of renewable energy by placing the consumer at the centre of initiatives. Gazifère, like all natural gas distributors, is required to deliver annually a quantity of renewable natural gas to meet this obligation and the costs associated with this must subsequently be recovered from customers.*
*Regulatory Impact Analysis – Draft Regulation Regarding the Quantity of Renewable Natural Gas to be Delivered by a Distributor – Ministry of Energy and Natural Resources (August 2018 and February 2019).
Since 2020, we offer our customers to contribute to a better environment by adhering to the RNG tarif. By agreeing to subject a share of your consumption to the RNG tarif, you are encouraging the RNG sector in Quebec and helping to reduce the province’s GHG and methane emissions. We are confident that over time, recognition of the environmental benefits of renewable natural gas will allow enough customers to voluntarily join and that cost-sharing will no longer be necessary.
Yes. All residential, commercial, institutional and industrial customers are subject to this adjustment approved by the Régie de l’énergie. However, customers who have already voluntarily adhered to the RNG rate at a percentage that allows them to reach the mandatory minimum threshold for the year 2020 are exempt. In 2020, this threshold is 2. For the year 2021 and 2022, it will be 12%.
The minimum threshold represents a calculation that takes into account the monthly percentage at the RNG rate chosen by the customer (%) multiplied by the number of months of membership. However, for the year 2020, considering that RNG was only offered from September, we have set the threshold at 2. For the year 2021 and 2022, it will be 12%.
This adjustment applies to unsold volumes in 2020. If you have not voluntarily participated in the RNG rate in order to reach the minimum threshold established for the year, you will have an adjustment on your monthly bill for 2022. For the year 2021 and 2022, if you have voluntarily contributed by choosing a percentage that will allow you to reach the minimum threshold, which will be 12, you should have paid your share of this obligation.
To the extent that the volumes of RNG provided for under the regulatory obligation are fully sold to customers who have made the voluntary purchase, you will not be charged in this regard. If, however, there is an unsold RNG balance at the end of a year, we will proceed with cost-sharing two years later, after obtaining authorization from the Régie de l’énergie.
Customers who have not adhered to the RNG in 2020 are billed according to their monthly consumption in 2022 multiplied by the socialization rate which is
$ 0.0066/m3. This tarif* represents the difference between the volume of RNG purchased to meet our obligation and the volume sold in 2020.
*Subject to approval by the Régie de l’énergie.
Yes, absolutely! Additional contribution remains voluntary and flexible. We invite you to complete the form OR to contact our customer service at 819-771-8321.
By joining the RNG tarif now, you are voluntarily contributing to the achievement of the objective. By agreeing to elect a percentage high enough to reach the annual mandatory minimum threshold, you should have paid your share of this obligation and thus, you will avoid an adjustment for the distribution of the cost of unsold RNG for a given year.
