IPEA works with its member natural gas systems to manage supply, purchasing and hedging operations through a contract with Constellation.
Discount-to-Index Program
In addition to traditional fixed-price hedges, IPEA offers member cities a discount-to-index program, which allows members the option to hedge a specific portion of their annual volumes and receive a discount on the index price. Members can “collar their costs,” meaning they can set a ceiling and floor price for the summer and a ceiling and floor price for the winter, which will then yield a discount. Or, members can request a specific discount, then work with IPEA and Constellation to determine the ceiling and floor prices to yield that discount.
Participating members have realized significant discounts on their delivered cost of gas by using this program.
The program is optional and available for summer periods, winter periods or both.
Related Financial Services
IPEA provides all management services related to the operation of the Agency, including accounting functions and the procurement of an independent auditing firm.
National Association Representation
IPEA pays each of our member gas system's annual membership dues to the American Public Gas Association (APGA). APGA is the national advocate for publicly owned gas systems. The affiliation allows IPEA’s concerns to be heard on a national level and also provides a pathway to educational opportunities for IPEA and its member gas systems.