Choosing a Good Electricity Service Company

by jsgs45 on April 9, 2010

When shopping for electricity service after a move or relocating to a new city it is hard to first determine who to go with. A part of the problem are these variable electricity rate plans. Some electric companies are consistent about letting the electric rate follow a commodity or energy market price in order to deliver price satisfaction and confidence to the electric service consumer.

Instead of raising your electricity rate arbitrarily for whatever reason the electricity supplier deems to be necessary a market based variable electricity rate goes up just as well as it would down based on market conditions. This is much better for the consumer as you are exposed to market conditions rather than a greedy marketing scheme by an electric company.

I am on an energy commodity backed variable electricity rate and this last year my electricity price went as low as 4.5 cents per kWh. A fixed electricity rate is much higher than the 4.5 cent price I quoted you I was paying because it is hedged energy. There is a lot of cost in hedging or insuring an electricity price so it remains fixed for a certain term.

Many refuse to get on a fixed electricity service agreement because you have to agree to a certain time frame or pay an early termination fee for leaving early.

This year a previously reputable electricity company in Texas had their customers on a variable electricity rate and they slowly raised the price over the course of the year. This slow price raise had nothing to do with market conditions but because it was gradual it took awhile for most of their customers to figure it out.

This electricity service company sold green energy as one of their main products and environmentally conscience electricity service consumers grew to accept and love them. Because you can never be too careful which electricity company is going to pull a stunt like this we have a clear apples to apples comparison chart that shows you fixed variable and green energy plans. All fees and charges are bundled into the electricity rates so you will not end up hooked into a rate that wasn’t disclosing a charge or two.

Also we update our customers in our company newsletter if you opted in to receiving updates from us about any schemes or scams like the electricity company we mentioned above that slowly raised their rates on their customers.

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