What are inverted blocked rates?
The Inverted Block Rate structure, which began with your July 2010 bill, will result in customers paying a lower rate for the cost of gas if you conserve energy and use less natural gas. CenterPoint Energy customers will notice a new Inverted Block Rate (IBR) price structure on bills that separates the cost of gas charge into five rate blocks based on natural gas usage. Customers will see a reduced cost of gas charge on their bills when using less natural gas and a higher cost of gas charge when use is above the average residential usage level. The more natural gas a customer consumes, the more the customer will pay over the preceding block. This new rate structure also allows the company to adjust its rates once each year to recover or refund any difference between the cost of gas amount paid by customers under the inverted block rate structure and the company’s actual cost of gas. This rate adjustment will appear on customer bills in 2011. The IBR only applies to residential and smal
