What is a Co-op?

Foothills Natural Gas Co-op is a member owned utility company that sells natural gas to a rural franchised area. Our franchise area is defined as west of QE II to the foothills, from north of Bowden to just south of Carstairs, an area of 958 square miles.

Is there a fee to become a member of the Co-op?

The cost of a membership is $ 1.00. Membership is concluded when title to land is sold or transferred. The membership fee is non-refundable and becomes the sole property of the Association.

Are there shares/dividends dispersed to the members?

Any surplus of earnings of the Association will be used to maintaining a strong and efficient operation by attainment of assets.

Who does Foothills purchase natural gas from?

Our natural gas is purchased directly through Gas Alberta.

What is the mark up on the natural gas that I buy from Foothills Natural Gas?

Foothills Natural Gas Co-op is a member owned utility and natural gas is sold to our members at cost.

Where is the capital that the Co-op requires for operation/maintenance of the system derived from?

Capital is derived from the flow rate which covers distribution costs. The flow rate (delivery rate) is currently set at $1.25 /GJ.

What does the monthly operating charge cover?

The monthly operating fee covers regular inspections of the distribution system which is an integral part of our operating and maintenance program; monitoring system integrity and ensuring public safety.

Why does the price of natural gas fluctuate?

The price of natural gas is constantly changing due to influences on supply and demand, as are most commodities. Suppliers have greater access to markets due to pipeline expansion. Supply quite often cannot keep pace with demand, which raises the price of the commodity.

Who regulates the natural gas industry?

The Alberta Utilities Commission (AUC) and the Alberta Energy Regulator (AER)  regulate exploration, production, processing, transmission and distribution of natural gas within the province.

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