Iowa Energy Deregulated Services

Energy Deregulation in Iowa

Deregulated energy services: Only natural gas.

Deregulated gas service territories: Gas provider choice is only available for limited customers.

Iowa deregulated the natural gas industry in 1997, and the Iowa Utilities Board (IUB) certifies all natural gas providers and aggregators who operate in the state. The IUB keeps an updated list of certified gas providers, which includes past providers who are no longer active. Natural gas customers are classified into two categories based on their usage:

  • Small-Volume Users: Consumption does not exceed 25,000 therms in a single month or 100,000 therms in a 12-month period.
  • Large-Volume Users: Consumption exceeds 25,000 therms in a single month or 100,000 therms in a 12-month period.

Iowa does not have local natural gas production or economically viable reserves, but its territory is crossed by several interstate pipelines. Most of the piped gas entering Iowa comes from Minnesota, Missouri, and Nebraska. Around 25% of the gas entering Iowa is consumed, and the rest is delivered to other states. Iowa also has four gas storage fields, which represent 3% of the total US storage capacity.

Around 60% of Iowa homes use natural gas as their main heating fuel, and they account for 16% of the state’s total consumption. The industrial sector accounts for 60%, the commercial sector accounts for 13%, and the electric power sector accounts for 10%. Overall, natural gas represents around 25% of Iowa’s energy consumption.

Learn more about US states with energy deregulation.