Maine Electricity Rates Rising 23% for CMP and BHE

Electricity Transformer

The Maine Public Utilities Commission set new prices for standard-offer electricity supply service for medium commercial and industrial (C&I) customers of Central Maine Power (CMP) and Bangor Hydro Electric (BHE) companies. The new prices are effective beginning September 1, 2013 through February 28, 2014.

The new average prices – 7.5 cents/kWh for CMP customers and 7.45 cents/kWh for BHE customers – are 23.2% and 23.5% higher than current standard-offer prices for CMP and BHE medium C&I customers, respectively. Compared to the same period last year, the new prices are 17% higher for CMP customers and 18.4% higher for BHE customers.

Currently, about 20% of the kWH load of medium and large C&I customers receives standard-offer service, with the remainder contracting their electricity supply with competitive suppliers.. “The prices set today resulted from a competitive auction process and reflect prevailing conditions in the regional wholesale electricity and natural gas markets,” said Commission Chairman Thomas Welch in a statement announcing the increases. According to Welch, prices in the wholesale markets have trended upward over the past year and suppliers are reflecting those increases in their standard-offer service pricing.

Electricity customers in Maine receive standard-offer service if they have not purchased supply from another retail supplier or through an aggregator. Currently, standard-offer service represents about half of the supply used by CMP and BHE medium C&I customers. Maine law requires the Commission to ensure that standard-offer service for electricity supply is available to all customers in Maine. The Commission arranges for standard-offer service through periodic competitive bid processes.

MedEd Announces New Electricity Cost To Compare

Met-Ed, a First Energy Company, has posted the new electricity Prices to Compare for the three-month period beginning June 1, 2012.  You should look at your utility bill to determine your rate class.  Use the figures below to compare prices offered by different competitive electricity generation suppliers.  You will save money if the price quoted is lower than the price below.  As of this writing, prices from a variety of Better Cost Control competitive suppliers in Pennsylvania are lower than the prices below.  We recommend using an electricity broker to obtain the best prices and contract terms.

The figures below reflect a State Tax Adjustment Surcharge (STAS) of -0.12%.

Met-Ed Prices to Compare effective June 1, 2012 are as follows:

Residential (RS): 6.961 cents per kWh

Residential Time-of-Day (RT): 6.961 cents per kWh

General Secondary – Non Demand Metered (GS-Small): 6.605 cents per kWh

General Secondary – Volunteer Fire Company: 6.961 cents per kWh

General Secondary – Volunteer Fire Company Time of Day: 6.961 cents per kWh

General Secondary – Demand Metered (GS-Medium): 6.605 cents per kWh

Municipal Service (MS): 6.605 cents per kWh

To learn more about a fixed price electricity contract to protect your company from price fluctuations,  contact us via email or call 800-454-0027 x150

 

New Jersey Borough Reduces Their Electricity Costs by $43,000

Eatontown  Borough officials expect to save approximately $43,000 by switching to a third-party electrical supplier this year.

The Borough Council passed a resolution during a special meeting on April 25 awarding a bid to a competitive supplier, to replace Jersey Central Power and Light (JCP&L) as the electrical supplier for the municipality.

“JCP&Lwill still deliver the power, it will still come through their lines and they will maintain those lines. Liberty Power will be generating the actual power that we will be buying,” George Jackson said in an interview onApril 27.

“Basically the only difference that will be seen on our bill from JCP&L is it will show that the provider is Liberty Power.”

The borough changed the provider after learning it would provide a cost savings to the borough, he said.

“When you go through a third-party supplier they can offer a lower rate, which was the case here,” Jackson said.

The borough will pay an estimated $75,000 a year for electricity, a $43,000 decrease from the $119,000 it was paying JCP&L.

“We were paying 11 cents per kilowatt hourwith JCP&L,” he said. “Nowwe are getting it at 7.29 cents.”

Competitive Electricity Positively Impacts the Illinois Economy

There has been a lot of discussion about the positive impacts of the competitive electricity market on the Illinois economy. The benefits have been twofold:

Competition Can Drive Down Prices
The competitive electricity market brings structure and discipline around electricity costs. This enables customers to switch to a competing supplier who can offer the most competitive supply services, or provide alternative energy solutions. Essentially, competition can drive down prices, which has a direct impact on the local Illinois economy and the health of businesses, universities, hospitals, etc.

Competition Spurs Job Creation
With more than 20 active competitive retail suppliers in the Illinois marketplace, thousands of jobs have been created to support the energy industry. Retail suppliers have established themselves in the Illinois market by opening offices and hiring staff to participate in the competitive markets. Businesses and institutions that have energy choice also have increased budget certainty and the ability to shop for lower energy costs—forces that make it easier to create jobs.

Brokers Help Companies Make Good Decisions

Despite the fact that Illinois has been deregulated for ten years, the use of an electricity broker helps customers make the best decisions.  Since electricity pricing changes daily, it is a challenge to obtain accurate and comparable price quotations from a large number of suppliers, since prices must be collected at the exact same time.  Then there is the complexity introduced by the varied contract language and terms that often result in a different invoiced price than a customer expects.  The use of an experienced broker helps sift through all this confusion and assures that the customer obtains the best electricity price for the desired contract term length and financial goals in mind.