When choosing a natural gas plan, one decision matters most: your rate structure.

The two main options are fixed and variable rates, and the choice directly affects how predictable your energy costs will be.

What’s the Difference?

Fixed Rate

A fixed rate locks in your price per Mcf for the length of your contract. Your rate stays the same each month, regardless of market changes. That means protection from price spikes, especially during winter, and easier budgeting with no surprises.

Variable Rate

A variable rate changes month to month based on market conditions. It offers flexibility, but it also comes with risk. When demand increases, your cost can rise quickly. While you may benefit when prices drop, you are exposed when they climb.

Real World Example

If you use 21 Mcf in January:
At $5.00 per Mcf, your cost is $105
If the market rises to $7.00 per Mcf on a variable rate, your cost jumps to $147
That difference adds up fast during colder months.

So, which is better?

If you want predictable bills and protection from price spikes, a fixed rate is usually the better choice. If you are comfortable with fluctuations and willing to monitor the market, a variable rate may work for you. Most residential customers choose fixed rates because they remove uncertainty.

Not Sure What You’re On?

Check your current bill. If your rate changes each month, you are likely on a variable plan. If it stays the same, you are on a fixed rate. If you want a clear comparison, BTY Energy can review your current rate and walk you through straightforward options.

Final Thought

This is not just about price. It is about control. If you want stability and fewer surprises, it may be time to switch to a fixed rate or at least understand your options better.