The Reason Energy Utility Companies are in a Panic

Commercial businesses are often looking for ways to cut costs. One of these costs is energy procurement. Every business needs their lighting and heating, but often are looking for ways to spend as little as possible. Meanwhile, Utility companies are looking to make high profits through selling energy.

Currently utility companies are seeing a flat line in sales and many are starting to worry about commercial customers who are looking to behind-the-meter storage solutions. The only way for utility companies to increase sales levels are to raise the price or the demand charge. By business customers having solar powered batteries to run during specific times their demand charge decreases. This has many utility companies are worried about plummeting profits.

An increase in the price for each kilowatt-hour sold, which needs to be approved by regulators is not ideal for utilities. Conversely the demand charge is a measurement of the highest average 15-minute electrical flow during the billing cycle. If the customer uses a lot of power during a short period of time then these charges will be a larger part of their bill and vice versa. Currently this charge is estimated to be between 30 and 70 of commercial customers’ bills.

According to a recent white paper published by the DOE’s National Renewable Energy Laboratory and the Clean Energy Group for about 28 percent of commercial customers using solar powered batteries to cut their electricity consumption would be advantageous. This not only would decrease electric usage, but also revenue collected from demand charges.  This shift could decrease a commercial company’s bill by as much as $2,000 a month according to one study of a theoretical Big Box retailer.

With these potential decreases in profits it’s no wonder that Utilities are worried about the future of the energy market, while commercial customers are continuing to look for ways to save costs.

 

You can read more at http://www.theenergycollective.com/djwamsted/2413367/storage-puts-utilities-big-bind-demand-charges

 

National Grid Rhode Island To Raise Electricity Rates

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Rhode Island electricity customers may be seeing an increase in their monthly bill if National Grid’s rate increase is approved. National Grid is proposing to raise electricity rates by 53 percent, bringing the rate to 9.5 cents per kilowatt hour. This increase leaves many business owners wondering about future energy costs and looking for ways to ensure they have the proper budgetary plan in place.

Being able to properly budget for energy costs will allow your business to not be subject to the ever-changing market at hand. This is where Better Cost Control can help. Working with Better Cost Control allows businesses the ability to sign a fixed price short to long term contract that allows for easier planning of future energy costs. We work with many suppliers to get our commercial clients the best price. We do the work to understand the prices being offered and not worry about unexpected price increases.

Reach out to us today to see what rates your business qualifies for with a free, no obligation quote.

Source: http://www.thewesterlysun.com/news/state/10648373-154/national-grid-requesting-increase-of-53-in-standard-electric-rate.html 

What are FERC Order 745 Costs?

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Commercial Customer Question:

Taking a closer look at my most recent energy bill I notice a line item for FERC ORDER 745 costs. Why are these costs being listed on my bill and what are these funds going towards paying?

BCC Answer:

In the beginning of 2016 the Supreme Court voted to uphold FERC Order 745. This law gives the Federal Energy Regulatory Commission (FERC) the authority to reward Demand Response programs. Demand Response programs work to balance out supply and demand during peak operating times by giving customers a monetary benefit for reducing their energy usage during these times.  This reduction in usage allows for better grid reliability since demand is decreasing. This ruling should help the energy market better regulate energy consumption and lower rates for participating markets. This also means that customers will be seeing a line item for this federally mandated fee on their energy bill for participating markets.

What are Commercial Businesses’ options:

For those business owners who are trying to regulate their energy costs, this is just another variable in their monthly expenses. However, business owners don’t have to leave it all up to chance. Right now, commercial businesses can lock in long term contracts for a fixed energy price that will guarantee the price they pay for their energy consumption and take one variability out of the equation.  Long term contracts allow businesses to better budget and give them peace of mind in an ever-changing market. Reach out to Better Cost Control today if you would like to learn how we could help your commercial business. We have been in the business since 2002 and can offer your company a no obligation quote. Call us today to see what we can save your business.

Penn Power Price to Compare 2017

Penn Power’s Price to Compare as of March 1st, 2017 has been released. Customers that buy electricity for less than the Penn Power Price to Compare can save money on their energy costs. These prices are especially important for commercial businesses, who need to be very conscious of their energy expenses, as it could affect their bottom line. Below is a list of the commercial Penn Power Price to Compare per rate class.

  • General Secondary – Non Demand Metered (GS-Small)
    • 7.41 cents per kWh
  • General Secondary – Volunteer Fire Company
    • 5.884 cents per kWh
  • General Secondary – Medium (GSM)
    • 7.41 cents per kWh

Today (3/17/17), some businesses with “General Secondary- Medium (GSM)” rate class could qualify to pay as low as 6.024 cents per kWh. This price can be locked in for the next 3 years. For those customers who would not want to make a long-term commitment, a year-long contract could be as low as 6.244 cents per kWh. These fixed rates allow businesses to better predict their energy expenses and control their costs.

Based on this potential savings, commercial customers should reach out to Better Cost Control today to see how we could help their business. Start with a free consultation with no obligation to see the benefit of using our services. Businesses who want to reduce their electricity cost can often feel lost and overwhelmed with all the energy options available to them. This is where Better Cost Control can help. We know the market and what to look for when evaluating pricing from various sources. Contact us today to start saving!

Met-Ed Price to Compare 2017

Met-Ed Price to Compare as of March 1st, 2017 has been released. Customers that buy electricity for less than the Met-Ed price to compare can save money on their energy costs. These prices are especially important for commercial businesses, who need to be very conscious of their energy expenses, as it could affect their bottom line. Below is a list of the commercial Met-Ed price to compare per rate class.

  • General Secondary – Non Demand Metered (GS-Small)
    • 6.842 cents per kWh
  • General Secondary – Volunteer Fire Company
    • 6.964 cents per kWh
  • General Secondary – Demand Metered (GS-Medium)
    • 6.842 cents per kWh
  • Municipal Service (MS)
    • 6.842 cents per kWh

 

Today (3/15/17), some businesses with “General Secondary- Demand Metered (GS- Medium)” rate class could qualify to pay as low as 5.763 cents per kWh. This price can be locked in for the next 3 years. For those customers who would not want to make a long-term commitment, a year-long contract could be as low as 6.014 cents per kWh. These fixed rates allow businesses to better predict their energy expenses and control their costs.

 

Based on this potential savings, commercial customers should reach out to Better Cost Control today to see how we could help their business. Start with a free consultation with no obligation to see the benefit of using our services. Businesses who want to reduce their electricity cost can often feel lost and overwhelmed with all the energy options available to them. This is where Better Cost Control can help. We know the market and what to look for when evaluating pricing from various sources. Contact us today to start saving!