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Tariffs Structure

Article 74 of Law 142 of 1994 establishes the general roles and powers of the regulatory commissions. Within these functions is the definition of methodologies and tariff options for companies to determine the collection of fees to end users. Consequently, it is companies that calculate the rates for charging users from the tariff methodology established by the Commission.

Superintendent of Public Services is responsible for monitoring the correct application of the pricing formulas and methodologies by the utilities, as provided in Article 79 of Law 142 of 1994.
The Energy Regulatory Commission and gas, by CREG Resolution 011 of 2003 established the general criteria for remunerating the activities of distribution and marketing of fuel gas, and general formulas for the provision of public utility networks gas fuel pipe. The fee formulas defined in the resolution in question are explained in detail below.
In general, the main causes of changes in the rates, there may be, among others, by such factors such as:
  • The cost of gas.
  • The representative market rate.
  • The economic conditions of purchase and transportation of gas marketers acquire.
  • The origin and history of purchased gas.
  • The variation in economic indicators CPI and PPI. 
Regarding the grants and contributions for residential users of strata 1 and 2, the third article of Law 1117 of 2006, as amended by Act 1428 of 2010, provides: "The application of subsidies to the cost provision of domiciliary public service of electricity and fuel gas for home use distributed pipe network users belonging to socioeconomic strata 1 and 2 from January 2011 to December 2014, shall be such the rate increase these users regarding their basic or subsistence consumption corresponding to each month in addition to the variation of the Consumer Price Index. "
Gas fuel pipe networks 
the rate formulas that apply to service public house gas and are set out in Resolution CREG 011 of 2003 are as follows:


Formula Gas Charges

J = Range consumer j 
M . = Month of providing the service. 
G m = Average maximum unit cost in $ / m 3 to buy natural gas for regulated users, applicable in the month m . 
T m = Average maximum unit cost in $ / m 3 for transporting gas in the National transport System designed to regulated users applicable in the month m . 
p = percentage losses recognized in the National gas Transmission System and Distribution System, equivalent to 3.5%, disaggregated by 1% for the National Transportation System and 2.5% for the System distribution. 
Dv jm = variable component of the charge distribution in $ / m 3 enabled the dealer for use network applicable in the month m , corresponding to the range j consumption. Excludes connection. 
Df jm = fixed component of the charge distribution, expressed in $ / invoice applicable in the month m for the range j consumption. The fixed component for users of the first rank of consumption basket of rates will be zero. 
C m = maximum charge of marketing . the month m expressed in pesos per invoice 
the above components are determined as follows: