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:
Many Pittsburgh consumers are surprised to learn the Duquesne Light is not the only power company in the area. This is because the Pennsylvania electric choice law allows alternative power companies to offer competitive pricing to power users in Pittsburgh and the surrounding area.
Consumers who have not participated in Pennsylvania’s competitive electricity market pay a default rate with Duquesne Light labeled the “Price to Compare”. Regardless of which Pittsburgh power company chosen, Duquesne Light continues to deliver the power to the homes and businesses of Pittsburgh. This is because Duquesne Light is the area’s regulated electric utility company, which means they are responsible for the maintenance and management of the power lines.
Selecting a competitive power company can lower the electric bill for Pittsburgh consumers substantially. Here are some current electric rate offers by Pittsburgh power companies:
Electricity customers approached by sales reps from North American Power should be careful before signing an electricity contract with the supplier. North American Power contracts that offer a variable rate are likely to increase almost immediately. Their contracts do not even guarantee that the rates they advertise on their site will be locked in for the first month.
The company promotes their rates by emphasizing that by choosing them you will be supporting charitable organizations. This is true, however it should be noted that you will be doing this as an extra cost to you, by paying more on your electric bill. You can support these charitable organizations without choosing North American Power as your electricity supplier. By choosing a variable rate with North American Power, you will pay a price for electricity at the company’s choosing.
Current North American Power prices for customers in the Connecticut Light & Power (CL&P) territory are listed as $0.0899 per KWh. However, customers in this area are paying $0.0999 cents per KWh on their most recent bill, a price that is even higher than the CL&P default rate.
We strongly recommend not choosing a variable rate for your electricity for the simple reason that the price has no ceiling. In contrast, a low fixed electric rate can guarantee you savings if the rate is lower than your utility’s default price to compare. The fixed rate will be fixed for a set term indicated on the electricity agreement that you choose.
Connecticut consumers continue to benefit from the state’s decision to deregulate their electricity market several years ago. Electric choice in Connecticut is providing energy customers with lower prices and more options when buying their electricity.
Almost everyone in Connecticut is serviced by either Connecticut Light & Power (CL&P) or the United Illuminating Company. Prior to CT Energy Choice these two utilities were regulated monopolies of electricity generation, transmission and distribution. The decision to create an energy choice market changed the role of CL&P and United Illuminating Company for their customers. Now they are only responsible for the transmission and distribution of electricity and are no longer in the business of offering generation rates to customers. Consumers can shop for competitive generation electric rates to find the offer that best fits their needs.
Consumers who do not shop for lower electricity prices pay a default rate that is charged by their utility company and regulated by the state. The default charge is determined by a series of auctions that the state holds for competitive energy companies who bid to serve a certain percentage of default paying consumers. While the money for default generation rates are collected by the utilities (CL&P and United Illuminating), the revenues for these charges are passed through to the energy companies who have won the previously held auction. Electricity choice is about customers getting the best deal that they can find, and not settling for a default rate.
While Connecticut has been a very successful energy choice state, the majority of customers are still paying high default electric rates. Less than 40% of CL&P residential customers and only 45% of United Illuminating residential customers have chosen to purchase energy from alternative suppliers. Currently CL&P default paying customers can save 10% on their monthly electric bill by choosing a low cost electric supplier. United Illuminating consumers can save as much as 20% versus their default generation prices.
