Electric choice is working in Connecticut as competitive electricity prices continue to fall for United Illuminating power customers . It is hard to argue against 15% savings, which is what current (Summer 2011) low electric rates in the United Illuminating (UI) territory are yielding for customers who have switched off of default rates and moved towards competitive electricity prices.
UI customers are still relatively new to the idea of receiving multiple electric rate offers. Though Connecticut electricity has been deregulated for some years now, competitive electricity offers were not offered to residential customers until just a few years ago. Savings were small at first, but with the UI Generation Service Charge (GSV) rates recently increasing and wholesale rates remaining low, competitive electric companies have been able to offer attractive electricity prices.
UI electricity customers can be reassured that selecting a low electric rate from a alternative supplier will not upset UI or end the business relationship. The United Illuminating Company is in the business of delivering power, and they continue to charge regulated rates to all of their customers for this service. They also continue to send their customers the monthly electric bill. The generation default rate that customers pay with UI is passed through to competitive electricity companies who have won auctions for the right to service default paying customers. Believe it or not, even if you haven’t selected a competitive supplier in Connecticut, you are already paying a competitive supplier through default service.
Electricity competition is working in the United Illuminating Company service area because customers can choose from a variety of electric suppliers at electricity prices that are lower than default rates.
Current Low Electric Rate for United Illuminating Customers:
Residential electricity customers of the New Jersey utility company Jersey Central Power & Light (JCP&L) are receiving competitive offers for the first time.
Though JCP&L has had a deregulated retail energy market for several years, electricity companies were slow to enter the market due to low JCP&L electric default rates. JCPL sets their default rates for their roughly 972,000 electric residential customers by holding an auction the previous year. Between 2004 and 2008 energy prices were in a consistent upswing. This made it difficult for competitive electric companies to offer discounted rates as they were always buying in a market where the price was higher than the default rates established in previous months.
With a general downturn in electricity prices in 2010, competitive electric companies are finally able to offer residential customers attractive electricity offers.
As competition has increased in the JCPL market some electricity companies have focused their marketing efforts on promotions and sign-up bonuses.
Fixed rate offers for terms as little as 4 months and as high as 24 months with a $75 gift card can be found here.
Variable month to month rates with a $50 cashback bonus can be found here.
Fixed electric rates will protect customers from JCPL electric rate increases that are expected to occur on June 1, 2011.
Seven years after New Jersey officially deregulated their electricity market, residences of the state are finally seeing competitive electric rates that can save them real dollars off of their monthly electric bill.
If you are a customer of PSE&G, JCP&L, Rockland Electric, or Atlantic City Electric, savings can be found by shopping the competitive electricity market for lower prices. Alternative electric suppliers had been slow to enter the New Jersey market for a variety of reasons. However, a significant drop in wholesale electric prices combined with high utility default rates, have given electricity companies a great reason to get licensed by the state and market their services and rates to New Jersey customers.
Residential customers can choose between a variable electric rate that can fluctuate month to month but gives the customer the option to leave the service at any time, or a fixed electric rate that locks in your rate for a specific period of time, usually anywhere from 4-24 months.
Here are the residential electricity rates available in New Jersey at this time:
PSEG Rates
JCPL Rates
Atlantic City Electric Rates
Some of the companies are running introductory offers with cashback bonuses.
For a low variable rate with a $50 Cashback Bonus introductory offer, click here.
Low fixed rate offers with a Visa Prepaid card up to $75 can be found here
In most cases, including the offers above, even after you switch electric suppliers you will still get your monthly electric bill from your utility company. The utility companies (PSEG, JCPL, Rockland, Atlantic City Electric) are still regulated lines and wires company and are responsible for billing residential electric customers. They only provide a default electric rate to residential customers because they are required to do so by the state under the terms of the New Jersey Competition and Electric Choice Bill.
Electric rates in Texas are down to levels that have not been seen since 2002 when the electricity market first became deregulated. The downward trend in electricity prices has been a result of falling natural gas prices throughout 2010.
Both residential and commercial electric customers are benefiting from the lower electric rates. Residential customers are signing fixed electric rates in the $0.08 – $0.09 cents per KWh range, where previously they had been as high as $0.17. If you haven’t checked your electric bill rate in awhile, now would be a good time. Often if you remain with a provider for a long time without signing a contract, they will gradually raise the rate even if the market does not dictate that to happen. Your bill should clearly state the rate (cents per KWh) that you are paying. If the rate is above 9 cents and you are not in a contract, shop for a lower fixed electric rate.
Commercial electricity customers are seeing rates below $0.05 per KWh. This is a huge drop off from where the electricity market was just two years ago when in was not abnormal to sign a fixed electricity contract above $0.09 per KWh. The lower electric business rates have allowed many businesses to drastically cut down on their energy costs.
