Eversource Basic Service Rates Starting Jan 2016

Variable Electric Rate

Eversource (Nstar Electric) has filed new Basic Service rates for the period beginning January 1, 2016. This is the rate that customers that do not have a competitive supply contract will be paying.

Eversource Fixed Rate Small Commercial Customers, for the six month period beginning Jan 1, 2016, will pay a rate  of $0.10570/kWh.

For Eversource Fixed Rate C&I Customers, for the three month period beginning Jan 1, 2016, the rates will be NEMA Zone: $0.10801 and SEMA Zone: $0.10318.

Variable Small Commercial Customers will have monthly rates as follows:

Jan: $0.14106
Feb: $0.14053
March: $0.10089
April: $0.08329
May: $0.07289
June: $0.08462

Large C&I Customers (NEMA)

Jan: $0.11350
Feb: $0.11530
March: $0.09429

Large C&I Customers (SEMA)

Jan: $0.11307
Feb: $0.10593
March: $0.08997

As a comparison, as of the date of this posting, you can obtain a fixed price supply contract at a price of $0.091 to start in January and eliminate all that price volatility.  Contact us at 617-332-7767 x150 to learn more.

Gas Prices are Near Ten Year Lows

The combination of many things, such as warm temperatures, high gas production, large storage and short positions by speculators—has reduced natural gas prices to near 10-year lows this week as we approach winter. The NYMEX November 2015 natural gas futures contract recently dropped to a low of $1.948/MMBtu, the lowest price on a  prompt month since April 2012.

This is only 4 cents above the 10-year low price of $1.902/MMBtu set on April 20, 2012 and illustrates a 22 percent decrease in gas prices in less than a week. Continued warm weather in the first half of November, combined with additional storage injections, could continue to push down NYMEX prices in the short term until colder weather increases heating demand.

Gas Price LowIf this has  you thinking about how to manage your energy costs for the next few years, you are on the right track.

Gas Storage at Record Highs

NYMEX fundamentals have been pushing prices lower.  Gas storage is at a record level due to warmer than normal temperatures in the Eastern half of the nation.  It is 12% above last year’s levels and 4% above the 5-year average.  NOAA is forecasting a continued warm winter.

Natural Gas Production is High

Production has remained high, despite dropping prices.

Wall Street Speculation

Bearish bets by banks and hedge funds have also had their impact on prices.  These bets could change at any time, though.  If weather becomes colder than expected, market prices could spike quickly.

How to Benefit from Present Prices

Understand that prices likely will not stay this way.  Consider taking advantage of the current market to reduce your price volatility for the coming years, for both electricity and natural gas.

  • Lock in prices for longer terms
  • For larger users, use hedge portions of your volume each month, similar to dollar cost averaging

Contact Better Cost Control to control your company’s energy costs.

PECO Medium Commercial Price to Compare Rises 15%

Electric Meter

PECO has filed electric Prices to Compare for the period beginning December 1, 2015 thru February 29, 2016.

Prices to Compare for commercial customers will be (¢/kWh):

Class            Current PTC     12/1/15 PTC
GS ≤100 kW          9.07           8.77
GS 100-500 kW       7.62           8.83
PD ≤100 kW          8.56           8.26
PD 100-500 kW       7.13           8.32
HT ≤100 kW          8.24           7.94
HT 100-500 kW       6.86           7.99

For comparison, a business contracting a fixed-price competitive supply contract, 
with between 150K and 250K kWH annual usage, will find supply prices today (10/20/2015) \
with a 11/2015 start date  and 12-month term, as follows: 
PN-GSLF (Large General Services): $0.06932
PN-GSMF (Medium General Services): $0.07242
PN-GSSF (Small General Services) : $0.07320

Read the entire PECO PTC filing.

Duquesne Light New Default Service Rates Up 17%

Variable Electric Rate

Duquesne Light filed with the Pennsylvania PUC new default service supply rates for the period beginning December 1, 2015.

The default service supply rate reflects generation supply only; unlike the official Prices to Compare which also reflect transmission and the state GRT adjustment. 

The Small C&I <25 kW (Rate Schedules GS/GM and GMH and Rate Schedule UMS) supply charge will be 6.0133¢/kWh for the period December 1, 2015 to May 31, 2016, versus the current 6.2355¢/kWh.

The Medium C&I 25-300 kW (Rate Schedules GS/GM and GMH and Rate Schedule UMS) supply charge will be 6.6641¢/kWh for the period December 1, 2015 to February 29, 2016, versus the current 5.6764¢/kWh.

Energy Broker Management System

Screen-1Finally, an easy way to manage commissions, renewals & documents!

An affordable energy broker management system to help you earn more money and save time, built by energy brokers for energy brokers.

Assures that you’ve been paid by suppliers for every meter reading, without any gaps or missed months.

Automatically:

  • Allocates every commission payment to the correct sales person or multiple sales person.
  • Tells you when an account hasn’t started paying on time.
  • Saves time during monthly commission reconciliation and payment.
  • Complete audit trail
  • Online reporting to all sales people, no need for printed reports
  • Provides payment reports based on actual receipts

Most energy brokers simply don’t have the management tools to assure they get paid exactly as they should every month, since they depend on Microsoft Excel.

In daily use and enhanced over four years, this online system can now be yours.

Increases trust and motivation with easy access for sales people to view the details of all their accounts, including every meter reading and commission payment.  Automatic alarms and discrepancy emails are sent to the supplier when a meter read interval is skipped on a commission report.

As an added bonus, includes utility databases for the states of Ohio, Pennsylvania and Massachusetts to assist in confirming usage data and prospecting for business. Fully searchable by company name, street, zip-code and more. Great for prospecting by street or finding multi-location prospects.

What else does the Energy Broker Management System do?

  • Renewal reminders
  • Document management
  • Training
  • RFP functions with automated supplier search by LDC or EDC
  • Alerts for deals not started, commissions missed & renewals approaching
  • Handles commission overrides for referral business or co-brokered deals
  • Reports payments by state to simplify tax filings
  • Reports sales by supplier & sales rep by any time period
  • Commission advances to sales reps with no further payment until advance is repaid by cash flow
  • Optional outsourced commission reporting: receive your commission payment report each month

Affordable monthly pricing based on your business size, so you can afford it!

Learn more by calling Steve Garson at 617-332-7767 x150.

Learn about Energy Broker Management System

Complete this form to learn more.
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National Grid Basic Service Rate Approved for Massachusetts

Electricity Transformer

National Grid has announced the new Basic Service electricity supply prices for customers in Massachusetts for the period November 1, 2015 to April 30, 2016.

Fixed Medium and Large General Service (G-2, G-3)

SEMA: 12.448¢/kWh

WCMA: 12.167¢/kWh

NEMA: 12.410¢/kWh

Fixed Small General Service (G-1) : 12.709¢/Kwh

For National Grid customers on a variable rate, prices will rise to a peak of 14.841¢/kWH by January 2016.

G2/G3 rates for variable rates:

November 2015:

NEMA: 9.864

SEMA: 9.774

WCMA: 9.309

December:

NEMA: 12.404

SEMA: 12.407

WCMA: 12.062

January:

NEMA: 14.656

SEMA: 14.841

WCMA: 14.782

You can protect yourself from these rising prices today with a fixed price electricity contract. As a comparison, today (9/24/15) a fixed contract starting in November, 2015 would have the following fixed prices for the life of the contract:

One Year Fixed:

G1: 8.94¢

G2: 8.695¢

G3: 8.625¢

This will protect you from the increased costs while saving you money for the entire length of this rate cycle.

Contact us for a quotation.

Atlantic City Electric Basic Generation Service Rates Approved

Below are the rates for the period noted.

Atlantic City Electric: Price to Compare starting June 1, 2015:

MGS-S: Monthly General Service Secondary 10.75
MGS-P: Monthly General Service Primary 9.04
AGS-S: Annual General Service Secondary 9.16
AGS-P: Annual General Service Primary 9.17
DDC: Direct Distribution Control 8.04
SPL/CSL: Street Lighting 5.93

 

California Electricity Bill to Allow Competitive Supply to all Commercial Customers

wind farm

California electricity choice may finally be changing in 2016. A California bill (SB 286) has been introduced into the California Senate that would allow all non-residential customers to have electric choice of suppliers. The bill would require the PUC to eliminate the existing caps on non-residential direct access load over a phase-in period not to exceed three years.  All non-residential customers will be able to participate in electric choice at the end of the period. The phase-in period for California electricity choice shall commence by July 1, 2016, meaning that electric choice would be open to all non-residential customers by July 1, 2019 at the latest.

You  can read the bill here.

At present, there is a cap on what California businesses can obtain competitive electricity supply.  We will post new information when it becomes available.

MetEd New Price to Compare Starting June 1, 2015

wind farm

MetEd (Metropolitan Edison of Pennsylvania) announced the new default service Price to Compare for the period from June 1, 2015 to  to August 31, 2015.  You can read the entire rate filing MetEd Price to Compare Filing.

The price for all MetEd commercial electricity customers will be $0.08356/kWH, an increase from the last period.

Customers who choose to obtain a fixed price contract, as of the date of this posting, can obtain MetEd prices that are 13% lower than the new rate, to eliminate all risk of price increases for 24-months.

To obtain a commercial price quotation, click here.  For a small business price quote, click here.

Now is the time to contract Electricity and Gas

EMEX

Prices for electricity and natural gas are nearing record lows, making this a great time for customers to purchase their power ahead of time.

This is due to several factors, including a warmer-than-average weather outlook for spring, a surplus of natural gas supply and a pull-back in power prices.

Here’s what you need to know.

Warmer Weather Is Reducing Demand

For those living in the snow-covered regions of the Mid-Atlantic and Northeast, it seems hard to believe this winter has been relatively mild compared to last year and warmer-than-average temperatures are on the way. It’s true that last November was the coldest since 2000 and the eighth coldest nationally since 1950. However, this was followed by a warmer pattern in late November and early December. While certain regions have clearly had cold snaps throughout the winter, they haven’t been as widespread and long-lasting as the cold we experienced during last year’s Polar Vortex.

This means demand has fallen compared to last year, contributing to lower prices.

Now that the worst appears to be over and spring is just a few weeks away, the National Weather Service is forecasting a warm spring for the West, Mid-Atlantic and Northeast regions and a warmer-than-average summer along both coasts.

Natural Gas Surplus Keeps Prices Low

Withdrawals from natural gas storage continue to be well below what we experienced last year. In 11 of the last 13 weeks, natural gas withdrawals were smaller than last year. We saw a brief uptick in January, but recovering production and inconsistent demand for heating kept more natural gas in storage. Unless temperatures remain cold through March, we’re on pace to end the season with a surplus.

By contrast, last year’s heating season ended with a deficit in natural gas supply. The elimination of that deficit cut natural gas prices on the NYMEX almost in half. This historical correlation between the gas storage surplus and deficit and the NYMEX 12-month strip, as well as estimates of end-of-season storage, suggest prices could fall even lower this spring.

Gas Consumption Will Reach An All-Time High

With natural gas prices this low, we can expect power companies to use more natural gas and reduce their reliance on coal. We’ve seen an upward trend in natural gas consumption by power companies for the past decade, but now it’s on track to reach record levels, according to the Energy Information Administration.

Gas demand in the power sector is 6 percent higher than in 2014 and 16 percent above the five-year average level. More power companies are retiring aging coal plants and replacing them with natural gas units.

We can also expect to see a greater reliance on natural gas in the West, as less available water creates a decreased reliance on hydropower. In late January, snowpack levels were only about 25-40 percent of what they are normally are, and a weakening El Nino looks to be bringing less rain, which could create a drought in early spring.  During a good water year, hydropower can contribute to up to 30 percent of the power generation mix in the summer, which isn’t likely to happen this year.

As power companies consume more gas and production tapers off in 2015, we should expect to see natural gas prices eventually bottom out.

Now Is the Time To Buy

As natural gas prices continue to fall, long-term power prices, too, are within 1-2 percent of all-time lows. Since the start of the winter, prices have been down an average of $5.49 per mWh.

Taking advantage of these low prices now by purchasing a portion of your energy in advance can help offset the rising costs of capacity and transmission, which are occurring as power companies retire aging plants and build new infrastructure.

BCC offers a variety of energy pricing options, including the ability to lock in prices over the term of your contract, make smaller purchases over time based on market fluctuations or use a combination of these strategies.

Our energy management experts can help you identify the right solution to meet your needs. We also offer a variety of energy management tools that allow you to monitor prices and make smarter purchases based on the market.

Learn more about how you can be a proactive energy consumer with our pricing options and energy management tools—contact us today.

New PA Price to Compare (PTC) for First Energy PA

First Energy has filed its new PA price to compare changes for March 1 to May 31, 2015. While Metropolitan Edison (Met-Ed) and Pennelec will see increases in their PTC, customers located in the West Penn Power (WPP) and PennPower territories will experience a slight decrease in rates.

The new commercial rates for each utility filed are as follows:

Met-Ed: $0.08004/kWh

WPP: $0.06713/kWh

Pennelec: $0.08005/kWh

PennPower: $0.07113/kWh

 

The new prompt month, March 2015 natural gas contract, began yesterday by declining 12.5 cents and settling at $2.719/MMBtu, a prompt month level not seen since September 7, 2012.  Ten cents of the total decline came just after the U.S. Energy Information Administration released its weekly storage report for the week to Jan. 23, reporting a 94 Bcf withdrawal from storage stockpiles.  The market was anticipating a number closer to –111 Bcf.  The withdrawal was 44% lower than the five-year average for that week.  Total gas in storage now stands at 2,534 Bcf, 15% more than a year ago (324 Bcf) and 3% below the five-year average (79 Bcf).  Storage inventory levels are expected to exceed the five-year average by Feb. 6, and end-of season levels are currently estimated to be 1.6-1.8 Tcf.  Robust production and healthy end-of-season storage projections continue to dominate fundamentals, as the market ignores icy temperature forecasts for the eastern half of the U.S. through the first week of February.

Why contract energy now?

Recent energy market trends may make buying decisions obvious.  Both power and natural gas prices for many regions have plummeted over the last 2 months.  Yes – there has been some cold and a bit of a bounce, but the trend since November is down.  Why?  A milder than expected start to winter, very strong ongoing growth in shale gas production and a resulting dramatic reversal in the natural gas storage situation (from huge deficit to a surplus) have pushed down NYMEX natural gas futures.  Beyond that, we have seen weakness in regional power prices and natural gas basis.

 

For energy buyers, the movement of prices for this winter is not the issue.  If they purchased earlier, then they may regret that transaction.  If they rolled the dice, then they are happy.  But there is no real additional action for most.  The decision is the long-term and these prices have also declined significantly while there is still uncertainty.

 

Current prices in all market for 2016 and 2017 and 2018 are near their all-time lows.  This is significant, especially after the high prices from a year ago during the polar vortex.

 

So what is the outlook and what should a customer do?

There are numerous risks (weather, impact of low prices on production economics, EPA regs, LNG exports) and well as reasons for more downside (weather, potential storage glut, prolific shale production).  Again, DEB has numerous internal sources that provide detail.  But from a customer side, the low prices beg for consideration of action at minimum.

 

Look at all-terms.  For customers that only look out 12 months, maybe they should go beyond 2015 or 2016 based on low prices far out on the curve.

 

Maybe go fixed?  Year-over-year savings may be available for many customers and prices are at or near all-time lows.  It would not be difficult to explain a decision to buy at an all-time low.

 

Maybe go “managed” and execute a layer?  The managed approach works in all types of markets because it provides for immediate action to take advantage of opportunity while not requiring full commitment if there is uncertainty.  And usually this is the case.  A customer could execute larger layers for the near-term where prices are lower and smaller hedges to take advantage of long-term prices that are low, but have a premium.  Suppliers offer a variety of products some of which can work for customers as small as 1,000 MWh/year.

 

Maybe do nothing?  But even if a customer does nothing, now is a time to (1) have a discussion and (2) make sure that they have a strategy and targets where they will act and (3) provide some insight so that they come to us for help when they are ready to act.

 

Sourced from DEB.