Published Date

NIT to TEP Service Update
Additional Cost Recovery – Effective May 1, 2024

TransGas’ NIT to TEP Service is for receipt points that initiate at Nova Inventory Transfer (NIT) with TransGas being responsible to contract and transport natural gas through the Nova Gas Transmission Ltd. (NGTL) system in Alberta.

Customers utilizing this specific service are:

  • Charged TransGas’ standard receipt transportation rates; and 
  • Subject to an Additional Cost Recovery (ACR) charge related to the transportation of gas to the Saskatchewan border. 

The ACR charge to recover from customers utilizing the NIT to TEP Service effective May 1, 2024 has increased from last quarter as outlined below:

Effective May 1, 2024     
Service TypeTermDemand Charge (per GJ/D per month)Commodity Charge (per GJ)Updated Rate 100% Load Factor Equivalent (per GJ)Previous Rate 100%LF Equivalent (per GJ)
Long Term Firm1-2 years$7.1094         -$0.2337$0.2401
 3-4 years$6.7539         -$0.2220$0.2281
 5+ years$6.3984         -$0.2104$0.2161
Short Term Firm $7.1094         -$0.2337$0.2401
Interruptible         -$0.2571$0.2571$0.2641
High Priority Interruptible  $0.2571$0.2571$0.2641

These charges are based on actual historic costs, historic liquid credits and third-party contracting costs (including NGTL delivery rate changes). TransGas will continue to review and update the ACR charge on a quarterly basis to minimize any cumulative imbalance between costs and recoveries.

Information related to the current ACR charge in effect from February 1, 2024 to April 30, 2024 and historical ACR charges can also be found on the TransGas website under Additional Cost Recovery.

A summary of the total NIT to TEP cost, which includes both the ACR and the TransGas receipt toll effective May 1, 2024 and historical February 1, 2024, is outlined below:

May 1, 2024   
Service TypeAdditional Cost Recovery (per GJ)TransGas Toll (per GJ)Total (per GJ)
R110N (1-2 years)$0.2337$0.2272$0.4609
R1103 (3-4 years)$0.2220$0.2272$0.4492
R1105 (> 5 years)$0.2104$0.2272$0.4376
R11N (Short Term < 1 year)$0.2337$0.2499$0.4836
R190N (IT)$0.2571$0.3030$0.5601
February 1, 2024   
Service TypeAdditional Cost Recovery (per GJ)TransGas Toll (per GJ)Total (per GJ)
R110N (1-2 years)$0.2401$0.2296$0.4697
R1103 (3-4 years)$0.2281$0.2296$0.4577
R1105 (> 5 years)$0.2161$0.2296$0.4457
R11N (Short Term < 1 year)$0.2401$0.2525$0.4926
R190N (IT)$0.2641$0.3061$0.5702

Please contact a member of the TransGas Customer Services team for any questions.

Casey MacLeod   
Key Account Manager   

Erin Rodger   
Key Account Manager