Have a Question?
Energy can be complex and tiring. We’ve compiled and indexed the most frequently asked energy questions for your convenience.
There are two types of billing options when it comes to your energy agreements: consolidated (one bill from the utility) and dual billing (one from the supplier for the supply costs and one bill from the utility for distribution costs). Most standard agreements will be consolidated billing.
If rates become lower with the utility than my contracted rate, can I switch to the utility without a cancellation fee?
Unfortunately, no. When you enter into an agreement for your energy procurement, you will be responsible for the terms and conditions of the agreement. The utility’s rate does change throughout the year. Once your agreement has ended you will be able to analyze the market and make the best decision at that time.
When comparing electricity rates, you want to look at your supply portion of the bill. Generation and Transmission are the two items that can make up your electric supply costs depending on your state. When analyzing your current rate, add together the total expense for this portion and divide by your bill’s usage for that month. This will give you a baseline for what you are currently paying and then be able to compare that number to our advertised rates. We do not expect you to understand all the different types of energy products out on the market. We just want you to know that there are a variety of products; fixed, variable, block
To know which rate you are currently paying, you want to look at the Gas Supply portion of your utility bill. Similar to electricity, you will see a delivery charge which is the cost to distribute your gas supply and also the gas supply. To analyze your current price, you will want to add together any line items within your supply charges and divide by the monthly usage on the bill. Also, similarly to electric, there are different products within the natural gas realm; burner tip and city-gate may be one’s you have heard of. Our Energy Advisors will help you select the best options when it comes to your natural gas.
There are multiple suppliers online but how can you tell which is right for your business needs? Suppliers provide the electricity or natural gas you consume at your location. When you switch to a third party supplier, you are purchasing energy directly from them.
Utilities are the companies that distribute your energy from the power supply to your business. ‘Distribution’ costs are determined by the utility and cannot be shopped. Essentially, you are paying the utility to provide a service by delivering your energy to you. Where your service area is located will determine your utility company.
Deregulation allows you to shop for your generation and transmission costs with your utility in a deregulated area. You can take advantage of the energy market and control your energy expenses.
If you are located in a utility that offers a default rate, the Price to Compare is located on your recent bill copy for either electric or natural gas. It’s the benchmark you will want to use when comparing third party supplier rates. Those utilities will always have a Price to Compare that changes throughout the year. Some change monthly, others change quarterly. It will vary and be based on the current market conditions at the time they purchase their energy.
Not always is the cheapest price going to be the best option for you. There are a variety of factors that need to be weighed before you make a decision. Some of those include the components that make up the cost, cancellation terms and also your individual business factors (i.e. how long will you be at your current location, will your consumption stay constant or go up and down, etc.). Luckily, we are well-versed in the procurement industry and have years of experience to help guide you through this process.
It depends on the supplier. Generally, if you turn off the meter and there is a cancellation fee associated with your contract, you will be responsible for that cancellation fee.