Summary

Electricity deregulation is quickly becoming a reality. Electric energy companies are gaining ground on deregulation, and that is a fantastic thing to happen.

Electricity utility deregulation is a timely attempt to turn the statewide monopoly of public electric companies into a brand new competitive marketplace. Electricity deregulation generally speaking breaks up the utility’s power over two of its most important features, That is electrical power development and electricity energy delivery. This is usually caused by bills passing in the legislature of a state. Maryland Electric Deregulation for instance is the result of a bill passed in 1999 by the Maryland General Assembly . Electric deregulation came to Maryland. But this huge change is not well understood by very many individuals.

The common U.S. price for natural gas used by the Electric utility sector tripled from $2 yet energy prices typically have gone up far less than that.

Electricity energy is now considered a commodity similar to natural gas, and as such is subject to market forces at the retail level . Energy in Oklahoma for instance is provided by investor-owned utilities regulated as to rates and reliability of service by the Oklahoma Corporation Commission, by municipalities and regulated by the state, Electricity deregulation began in the late 1990s when rates were capped on utility charges. Competitively bid electricity markets are good for American customers and businesses. As a result of the deregulation of the electricity generation market in Illinois, new means to purchase power have emerged. One of the new products that a customer can buy is green power. For instance wind energy and solar energy have been developed.

Changing Electricity rates can have a ripple effect throughout our community and could profoundly affect the lives of some of our residents. It has been stated that rates in all states, regardless of their regulatory structure, have soared about 34% since 1996, matching fuel cost increases.

We are dealing with a more competitive environment these days, and it makes sense to deregulate the energy sector. At the time when the telecom industry deregulated there were certainly bumps along the way. But, it would be really hard to find someone that thinks they would rather have it the old way. One large company deciding every price, and every new idea would be hard for todays consumer to accept. Without the ability of other company to enter the markets, we will only have one vision. That would be a vision of a company that does not need to work hard. That is because they own the market and supply of what is badly needed, and have no real reason to innovate. Deregulation changes all of that.

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About Amigo Energy

Amigo Energy was founded in 2003 and is a privately owned Retail Electricity Provider (REP). Amigo Energy services de-regulated Texas. It serves both residential and commercial electricity in the state of Texas.

Amigo was founded by the Vega family. This father and son team had over 20 years experience when Amigo Energy was created in Houston, Texas. Amigo Energy was later acquired by Fulcrum Energy. Antonio Vega worked with TXU for 37 years as an electrical engineer providing strategic knowledge and grid reliability engineering to make sure electricity reaches its final destination. The Texas electrical grid remains one of the most reliable grids in the USA today.

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Houston Based Startex Power has received the Better Business Bureaus Pinnacle Award for 2010. This award reflects “extraordinary commitment to ethical practices and caring customer service.” The Pinnacle Award is given only to one business in an industry per calendar year.

The award honors companies that demonstrate exceptional customer care, management, and product quality while exemplifying trust and honor with customers and other corporations.

“We are extremely honored to receive an award of this stature from the Better Business Bureau,” said Bob Zlotnik, CEO of Startex Power.  “Our philosophy is simple, we treat customers like family, and we always look for ways to improve service for them. This award is validation that we are fulfilling that promise,” Zlotnik said.

Startex Power is an electric power company serving the Houston, Dallas Fort Worth areas, as well as the rest of the deregulated areas of Texas.

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The first way you can save on electricity rates is to look

The first and most important thing to do as a Texas residential electricity user or even as a commercial business is to look for lower rates in this de-regulated environment. There are many people that have yet to seek new electric rates.  If you never look for a lower rate, there is little way to find one. Many people seem to assume there is one basic rate for electricity, so why bother looking?

This is not true, electricity rates cover a wide range of prices. In addition, there are other factors affecting price, including the fact that there are multi-year rate plans. You pay a premium to level off your electricity costs for a period of time. The longer the time frame, the more “premium” you pay. Adding various levels of Green Energy can also raise the cost as well. But regardless of the category of electricity you are looking for, there are many companies to choose from, and one might be right for you.

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Make sure your rates reflect the correct residential or commercial type account

Whether you are looking for a month to month electric rate plan, or 1 to several years, one thing is certain. To get the best rates, you must do some shopping, or have someone do it for you like an Energy Broker, or Energy Consultant. These are professionals that will analyze your needs and help you find a good solution. I have seen two businesses literally side by side in Odessa Texas and both of them paying very different rates. One was paying 13.5 cents per kWh, and the other was paying 8.5 cents per kWh. It turned out they both had the same electric company!

As it turned out the one that used the least electricity paid the highest bill. So after much frustration, and even asking the electric company to check the meters, and the readings, they finally called me. I was told that the big electric company had no answer for the discrepancy in the two bills. Well, it became clear and obvious to me once I turned the 2 bills over and saw the cost per kWh. Needless to say, the customer paying 13.5 cents per kWh as a commercial concern, could not wait to change companies.

13.5 cents per kWh is a price that I normally expect to see on a residential bill, not a commercial bill. And, yes the customer in question had good credit, so that was not an issue. But, I have seen this sort of price for a commercial business before. So, making sure you are getting a good price for the category you are in is essential.

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Make sure your rates are average to below average by comparison

Lastly, after you decide to look for better rates, then make sure you are paying prices that reflect residential or commercial type of account. Once you have done this, then it is time to look for prices that reflect the type of account you have. Suppose that is residential, then list the companies, plans and pricing. Maybe something stands out, like at the 1 year rate, it seems to dip lower and may be worth taking a second look. Once you think you have chosen a good candidate, it might not hurt to check with the BBB (Better Business Bureau) to see if they have lots of complaints. Maybe you want to look up their website and read about them.

Whatever you do regarding electricity rates, it will pay you to look for rates, make sure your rates are within reason, and if you want, find a company that may offer lower rates.

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If you are a resident of Dallas or Fort Worth Texas and you do not have a cheap Texas electric rate, it is time to do something about it. Electric rates are relatively low, so now is the perfect time to find a good rate and lock it in. Many companies like Bounce Energy and Startex Power have good one and two year rates. Not all companies have 3 year rates. If you think that electricity costs are low now and only going up later, maybe it is time to consider a three year electric rate plan. Affordable Energy has such a three year rate plane. You can check Affordable Energy electric rate plans by CLICKING HERE.

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Dallas and Fort Worth (DFW) Texas gets pretty hot in the summertime. Most residents pay far more for their electricity in the summer than they do in the winter. In the northern parts of the USA, most energy costs are with heating in the winter. But, in the south. energy usage is all about the hot summers. That is from Galveston Texas to Dallas, Fort Worth, from Texarkana to West Texas, Midland, Odessa and El Paso.

What Electric Rate Plan do you Need?

So if rates are going up, as they usually do especially for month to month plans, it’s time to look into a good company with good rates, and great electric rate plans. Affordable Energy has great 1, 2 and 3 year plans. They are affordable as electric rate plans go for Texas. So if you need a three year rate, you should check with Affordable Energy. Affordable Energy has offices in Houston, in fact they are based in Houston, so it is nice working with a local electric company with offices nearby. Click on the Affordable Energy link above and see if they have an electric plan that appeals to you.

Lock in Your Electricity Rate Today

Another company that deserves your attention is Startex Power. They right now have many plans that do not have a monthly fee on their electric plans. In addition they have very low rates especially  for 1 year plans and under. Click on their link above and see if they have an electric plan that is right for you. The whole idea is to get your low rates locked in now before prices start to rise. Once they do, it gets harder and harder to make a decision. it is just hard to lock in an electric rate when you have seen prices lower.

Need an Energy Consultant?

In my line of work as an Energy Consultant, I often meet small business owners that are too busy to keep up with their electric rate plans. They do not have time to see which companies are offering the lowest competitive electric rates. They are simply hard at work trying to make a living in these tough economic times.

I also meet with representatives of larger companies, sometimes they have branches throughout the state of Texas. Often times they are too busy to pay attention to the Texas electricity market and often times just allow an electric contract to renew. This is usually because they don’t have the time to properly take care of it. Does this sound like you or someone you know?

The Answer is an Energy Consultant

Just because a company is small, or is barely getting by doesn’t mean they should over look trying to get their best price for an electricity contract. I have helped company lower their bill so substantially, I have seen owners jump up and down and start hugging everyone. Just ask Marey if you don’t believe me. Trust me if you save over 25% on your bill as a business, that can help your business grow. Now you have money for advertising. Now you can make that upgrade.

Contact Our Energy Consultant

Give us a call at 432-853-0178, leave a message if we are on the other line. Or you can email us: consultant (at)cheaptexaselectricrates.com See if we can help you with the right rate, or if you use a million kWh or more, we can get you an energy auction. that is where many electric companies bid for your business.

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Smart Meters as a Collections Weapon

There are complaints flowing in California this week regarding the use of Smart Meters, and a huge increase of customers having their power shut off. Pacific Gas and Electric is at the center of this controversy. It seems that there was a recent government filing where PG& E predicted more customers who fall behind on their bill will have their power shut off once the company installs installs the Smart Meters throughout the territory.

Mark Toney, the executive director with The Utility Reform Network said that customers should have the right to refuse the Smart Meter installation in their homes. Customers have complained that their electric bills have soared since they were installed.

“Really, it’s our worst fears being realized, that PG& E sees these Smart Meters as a collections weapon to put pressure on people by being able to shut them off so easily,” said Toney.

Statewide 818,042 Californians were cut off from September 2008 to August 2009, an 8% increase. At the same time, PG& E customers were cut off at a rate of 40% to 298,020.

Public outcry over this has caused some change in procedures. PG& E customers now get two phone calls before a disconnect. In addition, if a customer misses a promise to pay date, he will get a second chance to make good.

This story appeared in the San Francisco Chronicle, 1/26/2010 on page D-1

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So what can we learn from this story? One thing that comes to mind is someone needs to start checking these Smart Meters for accuracy. I have seen many stories of folks complaining that their new meters are costing more to them each month on their bills that previous bills. After all, most of these Smart Meters are manufactured out of the United States, and we have seen recently that not all countries have as strict policies regarding quality and safety.

In manufacturing, especially in electronic devices you can have a very narrow tolerance for error, or a very wide one. We are at a time when companies are buying millions of units in many states. I am sure the manufacturers are doing everything they can to get as many units out to the buyers as possible. But who does care about the consumer? Anyone?

We need to have these devices tested. Maybe the Public Utility Commission of each state should take up this task. Or maybe the companies can see real value in setting the customers mind at ease on the reliability issue. Maybe before the utility company takes your old meter off, it should test it, to see if it was running on the low side of metering all this time, and the new meter is just accurate. that could explain what is happening.

Maybe these new meters should be randomly tested by disinterested third parties in other states as for efficiency and reliability? I think it will become painfully clear that there should be some oversight to installing millions of untested meters, on a population that is growing more and more leery of  them by the day. If they are flawed, just think of the problem of testing them, and installing new ones?

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