Archive for January, 2011

Bethlehem PA electricity suppliers and rate comparison

Thursday, January 20th, 2011 | Permalink

The shopping process involved in finding commercial electricity providers for a PA business is confusing if for no other reason then the vague nature of the terms of service in many energy contracts.

Commercial and industrial electricity contracts presented to a Bethlehem PA business many times have certain energy legal jargon in the contract that is hard to understand and for the business to determine if the provider is trying to sneak something by.

Rather than deal with trying to determine which electricity companies in PA are honest and offer straight forward pricing we recommend using our reverse auction process.

We will take your commercial or industrial electric usage out to multiple electricity suppliers selling retail electric service in this area.

These electricity companies compete against each other for your business while we act on your behalf as your energy consultant.

We work the rates down in price as the electricity providers bids come in.

We also take time to have our attorneys go over the energy contracts from the different providers and make sure they are not hiding fees and charges in the terms of service of the contract.

Once all electricity rates are in we create a proposal that shows you the cheapest electricity suppliers in the Bethlehem area that have bid on your account.

The electricity rates proposal offers dollars and percentages in a clear straight forward apples to apples comparison.

Our energy consultants go over the prices and PA electricity companies in the proposal and assist in getting you signed up with the best provider of your choice.

Sign up using the form on the top right and an energy consultant would be glad to help you determine the best option for your situation. You may also prefer to sign up right away with one of the featured providers on this site.

Allentown PA electricity suppliers and rate comparison

Thursday, January 20th, 2011 | Permalink


A good Allentown PA electricity supplier will take the time to bundle in all fees and charges into your rate so you know the total charges you will see on your electric bill.

A few electricity companies have become proficient in sneaking in additional fees and charges by hiding them in the terms of service of the contract and other nonsense.

Our energy consultants in Allentown take the time to put your commercial and industrial electric usage through a reverse auction.

The electricity companies that serve Allentown PA are not all out to get you so I want to avoid lumping them together as all bad apples.

There are some honest and ethically run energy suppliers in Allentown but you still need a customer advocate that can work the margins down among these providers.

What we do as your energy consultant is go out to several competitive electricity suppliers in the area and have them bid on your commercial account.

We are not a shill company acting as some type of sales rep for 1 or two electricity suppliers. There are many energy brokers out there that are basically nothing more than outsourced salesmen for one company.

When we represent ourselves as YOUR energy consultant we actually mean it and our transparent reverse auction process that works these electricity providers rates down proves it.

Once all electric rate bids are in we create a detailed proposal showing you the electric companies that won your bid and the different products and terms available.

The comparison in the proposal is presented in an apples to apples comparison with bottom line savings in dollar amounts and percentages.

More advanced pricing strategies for large industrial and commercial businesses are also included when necessary in this proposal.

An energy consultant will call you to go over the proposal and consult you on the best choice based on how your company uses electricity and how long price stability needs to be insured at a certain budgeted amount.

If you would like to work with an energy consultant regarding finding the best rate in this area please use our sign up form above.

Reading PA offers electricity rates from multiple electric suppliers

Wednesday, January 19th, 2011 | Permalink


In Reading PA commercial and industrial businesses can work down their electric rate by entering into a reverse auction process. Instead of pulling up a list of electricity suppliers in Reading PA that have different ways of pricing and outlining service charges, transmission and distribution fees, and energy only pricing you can get an apples to apples comparison.

Our energy consultants send out your historical or estimated electricity usage (if you are a new company) to multiple electricity companies in Reading PA competing for new usage accounts.

We are not on these electricity providers payroll and are not a shill company that operates as an outsourced salesman for a particular electric company like Penn Power Met-Ed, and other energy suppliers.

Instead we act as your energy consultant and go out to these Reading electric providers and offer them the chance to bid on your commercial or industrial electricity account.

When the electricity bids come in we work these rates down as well as negotiate apples to apples terms of service among the competing electricity suppliers in PA.

By working the electricity rates down and making sure the terms of service are similar we can create a proposal that gives a clear representation of rates in the market for your business.

The prices in the proposal are from multiple electric companies and for several different terms.

If you are a large commercial or industrial customer such as a chemical plan or manufacturing facility we can put together bids for more advanced energy products such as, heat rate, natural gas fixed pricing, index prices combined with fixed and other related plans.

Use the sign up form above to have an energy consultant call you regarding Reading PA electric rates available in your area.

Is Electricity Power the new clean energy?

Monday, January 17th, 2011 | Permalink

A new energy news topic has been sweeping through the papers and news outlets, and I now see it in TV commercials regarding electric powered cars.

Is electricity power really the new clean energy? Well the argument could be supported in regards to if that electric car will pollute the city it is in.

Since the electric powered car does not spew out any pollution from the exhaust beyond hot air it can be supported that the car will b much cleaner for the environment it is driving in.

But my questions is this, what about all the towns and cities that have large industrial coal fired power plants, natural gas power plants, nuclear plants, hydro, biomass power plants and others?

These small towns out in nature sometimes will be spewing forth pollution from all of the cars using a secondary power source. You see the electricity that comes from your homes wall didn’t just arrive there from the electricity fairy.

The electric power you get at your house that travels over the power lines resulted from a large power plant burning coal, natural gas, ad other raw materials to produce electricity.

You pay your retail electricity provider for this power to power an electric car. Gasoline is burning efficiently in newer cars and it is a 1 to 1 ratio. Electric power is created by burning similar oil based fuels but it is not immediately powering anything accept the large turbines in power plants that create your electricity power.

A power plant is much more inefficient because it is creating convenient power to allow electric car people like some of my readers might be to have the ability to plug their cars into their electric socket at their house.

You are right in that your city might become a cleaner city but you are certainly not greening the planet by driving an electric powered car.

You can also expect for higher demand for electricity power which will lead to much higher electricity rates for the poor people in your town.

You may drive around feeling good about your electric car but you could be the reason someone gives most of their paycheck to their retail electricity provider.

Why do electricity rates spike for no particular reason?

Thursday, January 13th, 2011 | Permalink

A cheap electricity rate one day can become very expensive the next and this has to do with risk factors that effect the electricity companies and power generators that sell you electric service.

You may have chosen a variable electricity rate that was on what is known as the spot market or MCPE index and you may feel like you made a smart decision.

Then one day you get your electricity bill and you notice your electricity rate averaged 40 cents per kilowatt hour last month which is why you are getting a $2,000 electric bill compared to what was once much lower.

What causes a price spike like this?

Many things can cause price spikes in electricity markets because there are many risk factors that electric companies have to contend with. Below are just a few of the risk factors that can impact a variable electricity rate plan you may currently be on.

  • Market Risk – Electricity companies may pay a premium for power on the commodities market when natural gas and oil prices are at all time highs. This would not be the best price for electric power and variable electricity rate customers will see this risk past through on their electric bills.
  • Credit or default risk – Electricity companies may not get paid by their electricity service customers because they took on too many bad credit risk customers and many of them defaulted on their bill. The electricity company will make up for this by hiking up your electricity rate.
  • Operational risk – The electricity company you chose may have a bad software and billing system to track customers, manage energy purchases and hedges and collect on payments. If a large enough loss is realized because of mismanagement in this area the electric company may raise your variable price to make up for their short fall.
  • Quality risk – Last year an electricity company offered a variable rate and advertised it as a cheap electricity rate plan that follows a commodities market. The product ended up not meeting this guideline and went up even when the market was down. The electricity company was simply passing on risk to the customer to meet their profit requirements while sacrificing on quality of product being offered. This rate plan obviously did not meet the quality standards as outlined in their ads to customers.
  • Storage risk – In Texas electricity is generated at peak times by burning the commodity of natural gas that is in storage in salt domes throughout the state. These salt domes can only store so much of this commodity. If natural gas is in short supply electricity rates can go up among all electricity companies simply because their is not enough raw energy resources to produce electricity to come to your home or business. More expensive power plants and demand curtailment options have to be employed and this price is past through to all customers on variable electricity rate products.
  • Model risk – Pricing models are created by electric companies that are used to forecast prices and profits. These models can sometimes be inaccurate and the provider may find themselves in a fix for predicting wrong. The risk in this situation gets passed on to their variable electricity customers already signed up with them in a price spike.
  • Legal risk – Last year several electricity companies in Texas went out of business and some of the people in charge left the state to hide out and avoid paying penalties, fines and lawsuits. The companies went out of business because of liquidity and model risks when commodity prices had risen to historical levels. These companies bet on prices without protecting themselves through hedging and proper execution. The customers were dropped, they did not get their deposits back and they had to sign up with a new provider while electricity price were at historically high levels.
  • Liquidity risk – This risk involves not having the backing necessary to make large energy commodity trades and hedging. Hedging is necessary to protect the price electricity customers pay so that it stays within a certain threshold. Without being able to hedge if an electricity company promises a rate will not go beyond a certain price they may not be able to fulfill that promise if commodity prices like oil and natural gas go up in price.
  • Political or regulatory risk – This risk is associated with US and state political regulatory changes to pricing structures completely regulated by the government. These changes can effect the price people pay for electricity which may happen if Global Climate Change legislation goes through and companies are forced to add a carbon tax. This risk affects all electric companies and customers and there is no way to protect against it. A forecast of over 30 cents per khw hour for electricity is seen if this type of legislation is past.

Rather than choose a variable electricity rate consider going with a fixed electricity price. You have price predictability and assurance that you will pay the same rate for the term of your energy contract.

Please use the sign up form above to have an energy consultant work with you on finding the best available rates in your area.

Electricity Suppliers