By Kipcon, Inc.
A Reduction in Cost for Your Tenants’ Energy.
A Reduction in Cost for Your Common Area Energy.
A “Greening” of Your Building.
Potential Rebates to Offset Your Operating Budget.
Deregulation means separating the supplier from the deliverer. Prior to the 1990s, every state in America regulated its electric industry. In any given area, there was only one local utility company permitted to deliver and supply energy. These utility companies owned both the power plants to generate electricity as well as the transmission towers, lines and poles to distribute the power to consumers.
Through the NJ Energy Choice Program, the local utility continues to exclusively manage the delivery parts of this process while the supply is open to a free market of third-party energy suppliers. As individual states deregulate electricity, consumers are empowered to choose where they buy their power, much as they can choose their long-distance phone company. This deregulation of electricity has created a competitive marketplace, driving prices down and quality up.
Less Expensive Electricity
Switching to a third party electricity provider gives the consumer the opportunity to shop around for the best price. Depending on the current rates of the local utility company and the third-party supplier chosen, monthly cost savings can range from 3% to 40%. The end result is approximately one free month of electricity per year.
Some companies offer fixed priced contracts, such as $.9 per kWh for two years. Other companies offer variable rates, which are based on the energy market and fluctuate throughout the year. Historical rate charts can illustrate the average annual savings of variable rate plans. Whether you have a fixed or variable rate plan, monthly savings vary because utility rates also change in response to the energy market. Likewise, in both cases, the consumer pays less than they would have had they continued to buy electricity through their local utility company.
Greener Energy
In addition to being cheaper, deregulated energy is often greener. In a competitive marketplace, both price and quality matter. To differentiate from other third-party suppliers, many companies offer “green” options and/or produce some or all of their energy using renewable energy sources such as wind turbines or solar panels.
For example, Viridian Energy is a green company, and offers electricity at lower variable rates than local utility companies, while producing 20% of its product via renewable sources such as wind, solar and geothermal. This same company also offers a 100% wind produced option for homeowners willing to save less (and possibly pay slightly more) for completely sustainable energy.
Eligibility
The power to choose is only available to customers that are up to date on their payments to their local utility company. Customers who are behind on payments are not permitted to switch suppliers until they have paid their balance in full.
Compliments of Kipcon Inc.:an innovative engineering/architectural firm that has pioneered ways to design and deliver engineering solutions that are timely, cost-effective and specific to each client.