The Illinois energy choice laws are allowing consumers to compare electricity rates in Chicago, and the results have been lower ComEd electric bills with zero downside.

Choosing to buy electricity from an alternative electricity company at lower generation electric rates than the ComEd default rates simply allows the citizens of Illinois to pay less on their monthly electric bill. When you compare electricity rates in Chicago it is important to make sure that you are comparing apples to apples. For residential customers, the Illinois Commerce Commission demands that all electricity companies offer rates on the same playing field and that they include both generation and transmission. However, consumers do need to make sure that the rate they choose is fixed and not variable.

Many electricity companies offer variable rates that do not contain limits to how high the price can go. The electricity company will market their variable rate with an initial rate. This rate will only be guaranteed for the first month, after which the rate can go up immediately. On contrast, fixed electric rates will not change during the term of the contract. If the fixed rate is set at a lower price, when compared to the default rate, you are guaranteed to pay less for your electricity.

Many consumers may not want to switch electricity companies because they fear the contract. The truth is that the contract is a good thing as it protects the consumer, indicating what the electric rate will be and for how long (the term). Electing to receive power from a company without a contract will put the consumer at extreme price volatility risk. Furthermore, the Illinois Commerce Commission oversees the contract language allowed by the electricity companies. In conclusion, taking the time to compare electricity rates in Chicago will result in huge electric bill savings.

For some business owners it is a simple concept; take a few minutes to compare electricity rates and end up saving between ten to 25% on a necessary business expense, the electricity bill. However, for many others the concept of electricity choice and deregulation is still foreign.

Those who have been quick to adapt to the new market are seeing the benefits with a lower PECO bill. Most competitive suppliers offer single billing which means even though a switch is made they still receive one bill a month from PECO energy. The bill includes the negotiated generation supply rate which is competitive, and the delivery distribution charges from PECO which remain regulated by the state.

Clearly Pennsylvania electricity choice is working as over 36% of business customers in the state have selected an alternative supplier, with that number being even higher, at 45%, in PECO Energy territory. The PECO Energy territory, which includes the city of Philadelphia and surrounding areas, serves the most customers out of all the Pennsylvania electric utility territories.

Over a dozen electricity suppliers are marketing their service to Philadelphia business customers. The PECO territory is one of the most active energy choice markets in the country. The high default rates combined with current low energy wholesale prices allows for competitive energy companies to offer significant discounts versus the PECO default rate. Savings will vary based on customer size and location, but nearly all PECO customers can save over 10% with current market conditions. With summer fast approaching, now is the ideal time to lock in a low fixed electric rate that will save a company money right away and protect them from potential future increases.

Current competitive PECO rates for businesses are below.

Electricity choice in Pennsylvania allows for alternative power companies to solicit customers who previously did not have choices when it came to who do buy their power from. The program seems to be working as more power companies continue to offer service in the state, resulting in lower electricity prices for energy shoppers.

Electricity customers can compare several rate offers at electricity comparison sites designed to help consumers compare electricity rates, as well as learn about energy choice and current default price structures.

Energy consumers who do not select an alternative supplier pay a default rate with their local utility company (PECO, PPL, Duquesne). The default rates – price to compare – are based on a series of auctions that have previously been held. Choosing a lower priced supplier simply means a lower monthly electric bill, from the same local utility company. Energy choice seems to be working as prices continue to fall, companies expand, and customers adopt to their new choice by shopping. It is becoming more difficult for incentivized politicians to argue against the Compete Coalition, an organization who supports nation wide energy choice programs.

Electricity customers who are serviced by Baltimore Gas & Electric are finally starting to see the benefits of Maryland energy choice as competitive energy companies have pushed prices down.

How Do I Lower My BG&E Electric Bill?

There are a thousand different answers to this question. Some are true, some are myths, some are smart, and some are just plain ridiculous. While many people will spit out some energy efficiency strategies and facts – unplug appliances, turn down the AC, keep blinds shut during the day – the easiest way to lower your BGE bill is to exercise your freedom to shop the competitive electricity market.

You can always take the time to learn about energy efficiency and put that to practice, but there is no simpler way than taking 5 minutes to switch off of the high BGE default rate and onto a lower competitive rate.

Maryland electricity choice laws have structured it so that BG&E continues to deliver power to their customer’s properties regardless of which energy supplier they choose. BG&E is now only in the business of power delivery and power line and wire maintenance. When you choose a competitive supplier, you continue to receive your monthly electric bill from BG&E. The rate you choose simply replaces the default BG&E supply rate. So if the competitive rate is lower than the default rate, you save money on your electric bill.

So, How Do You Lower Your BGE Electric Bill?

Simple! Just shop and choose one of the low competitive electricity rates below.

Energy choice is providing savings for Connecticut electricity customers. Connecticut’s energy choice laws allow consumers to shop for competitive electricity generation rates. Currently competitive rates are being offered that are significantly lower than the local utility (CL&P, United Illuminating) generation default rates.

The utility generation default rates are set for an entire calendar year. As an electricity shopper, if you can find a competitive fixed electric rate that is lower than the default rate (see below) than you can guarantee yourself electricity bill savings. Connecticut Light & Power and The United Illuminating Power Company offer default electricity rates for consumers who are slow to learn about Connecticut energy choice.

The expenses customers pay for default service are actually passed through CL&P and United Illuminating to competitive energy companies who have bid to service the default class. Many people refuse to shop for lower electric rates because they believe that staying loyal to CL&P and United Illuminating will promote the local economy. That thought process is false as the default revenues already go towards competitive energy suppliers. The Connecticut energy choice laws have unbundled the CL&P and United Illuminating so that they now only focus on delivering the power in their regulated local utility territory. Connecticut Light & Power and The United Illuminating Company do not profit from generation supply rates, and therefor do not care if their customer’s shop for lower competitive energy rates.

Despite falling natural gas prices the PECO electricity price to compare, the rate that PECO customers pay for electricity who do not choose an alternative energy supplier, will be going up on April 1, 2012. PECO Energy is the electric utility company who serves the majority of Philadelphia and the surrounding area. Their responsibility is the maintenance of the power lines and wires, and providing default generation supply rates for electricity customers who have not yet caught on to electricity choice.

Customers who have not power shopped are being urged to do so in order to find a lower electric rate for their home. With the tough economy it makes sense to spend 5 minutes comparing electric rates and choosing a cheaper energy price plan. The truth is, even if it wasn’t a tough economy there is no reason not to shop for a low fixed rate that will save you money; the quality of the power remains the same, PECO continues to send the monthly electric bill and respond to power emergencies, and the customer saves money.

The PECO price to compare is based on a series of auctions held by PECO Energy for competitive energy suppliers who wish to serve a portion of default paying consumers. With the default rate going up in spring during a time of historically low natural gas prices, many analysts believe the default price will go up even further in the summer. Finding a low fixed electric rate can not only guarantee immediate savings, but it provides price security that my result in even more savings in the coming summer months.

Here are current PECO competitive energy rates:

Energy consumers in Illinois are quickly learning that they now have the ability to find savings by shopping for competitive electricity and natural gas prices. The Illinois Electric Service Customer Choice and Rate Relief Act of 1997 opened up the energy supply component in the state to choice, allowing alternative suppliers to offer service to customers.

Over the last several years the majority of large businesses serviced by Commonwealth Edison and Ameren shopped for competitive power supply contracts in order to get off high default rates. With falling energy prices, now competitive energy companies are moving in and offering low electricity rates to Illinois residential customers.

Though the supply side of the power business has been deregulated, the utility distribution side is still regulated. This means that no matter which competitive supplier the consumer chooses, the electricity is still delivered by the same regulated utility company that has always serviced them, which in Illinois is either ComEd or Ameren. The Illinois utility companies also continue to manage and maintain the power lines and wires, take the monthly meter read, respond to power failures and other power related emergencies, and send out the monthly electric bill to their customers.

The end result of shopping simply allows for the consumer to find a lower electric rate, or choose to buy a specific generation source for the power they consumer such as wind power. They also have the choice to lock in a fixed rate for a specific term offered by the competitive electric company or choose to ride a monthly variable electric rate. The competition is resulting in abundance of savings for Illinois energy customers.

If you are a ComEd customer, you can find competitive electric rates below (rates updated daily):

Atlantic City Electric customers are finding that they can lower their electric bill by shopping for competitive priced power. The southern New Jersey utility serves over 480,000 residential customers. However with the passage of the New Jersey Energy Competition and Choice Act, the role of Atlantic City Electric has changed.

Prior to New Jersey energy choice Atlantic City Electric was responsible for all phases of power consumption for almost all citizens living in the bottom half of the garden state. This included the purchasing of electricity generation for their customers, and then the delivery of the power to businesses and homes. Atlantic City Electric was also of course responsible for responding to power failures and emergencies, as well as reading the meter and billing.

Now that energy choice is in full effect, Atlantic City Electric still maintains the majority of the roles they had before. They are still responsible for power delivery, responding to emergencies, meter reading, and billing. The aspect that has changed is that they are no longer responsible for buying the electricity generation supply for their customers. Energy choice allows customers to purchase their own generation supply, meaning that they can shop for the lowest electric rate or choose to buy power that comes from a specific generation type, such as wind power.

Customers who do not shop for low electric rates pay a default rate for their electricity supply through Atlantic City Electric. This default rate is determined by auctions held by Atlantic City Electric for competitive energy companies. ACE does not profit from the default rate and instead passes on the revenues to the competitive energy companies who have won the previously held auctions to serve default paying customers. This is why ACE does not care if their customers switch electric suppliers. ACE does not care if their customers pay less for electricity supply because their revenues and profits are derived from the regulated electricity delivery charges.

For customers looking to lower their Atlantic City Electric bill, they can compare electric rates below to find low offers:

Chicago consumers are no longer confined to purchasing their power from the local utility company. As a result of the Illinois Electricity Choice Act, power users can now shop for lower prices among several electricity companies in Chicago.

Energy choice in Chicago is providing Chicago residences with huge savings versus their traditional utility’s price to compare. Commonwealth Edison has provided electricity service to the city of Chicago and surrounding areas since 1907. The new energy choice laws has changed the role of ComEd from a full service electricity company who supplies and delivers power to their 3.6 million customers, to just being in charge of power delivery.

ComEd is encouraging consumers to find low rates from Chicago electricity companies, citing that they do not profit off of price to compare default rates. Money from the price to compare rates are passed through to electricity companies who have bid for the right to service default customers. ComEd earns revenues and profits from the delivery charges on the bill which remain regulated by the Illinois Commerce Commission Energy Division.

Lower electricity rates are currently available against the official ComEd price to compare rate which includes the generation and transmission rates. The lower electric rates will result in big savings on the electric bill, which continues to be sent by ComEd even after a competitive electricity company is chosen.

Electricity choice in Connecticut is clearly working as competition is forcing prices on a downward trend. Just a few short years ago consumers in Connecticut were paying the highest electricity rates in the country, causing state senators to draw up a Energy Bill to end electric choice. The bill was eventually vetoed by the governor, and with time prices have dropped.

Connecticut Light & Power customers have seen electricity deregulation and competition bring down their generation rates by more than 30%. In 2009, the generation default rate for CL&P residential customers was over $0.11 per KWh. Now, in 2012, that default rate has dropped to $0.0828, with competitive electricity rates as low as $0.0769.

Consumers who do not shop for competitive electricity pay the default rate that is offered by CL&P. Though they may not realize it, the drop is a result of increased competition. However, to maximize the benefits of Connecticut electricity choice, consumers should shop for low electricity prices.

Below are some current competitive electricity rates from Connecticut Power Companies offering service in the CL&P territory. Even after a competitive rate is chosen, the customer will still receive their monthly electric bill from CL&P, and CL&P will continue to respond to power failures and emergencies. The only thing that changes is the rate (i.e. you pay less on your monthly electric bill).