Every year, more and more states are choosing to deregulate their energy markets, but what exactly does that entail for you, the consumer? It may seem like this is just another step to confuse you in the process of powering your business or home, but in reality deregulation is actually one step towards savings.
In order to understand how energy deregulation helps you save, it’s important to understand what deregulation entails. To put it simply, when a state deregulates its energy market, the utility companies no longer charge you for how much energy you use, just for delivering it. This separation leads to multiple energy suppliers competing for customers. This competitive market can lead to competitive energy costs that can save you big if navigated correctly. But what are the other benefits of deregulation?
The main benefit of deregulation is competitive prices. Within a deregulated area, the buyer has the power to shop by prices and, if done strategically, has the potential to save money. With the nature of competitive markets, providers try their best to make their energy the most desired, leading in providers competing to have the lowest costs and best solutions.
Because providers are forced to stay ahead of the curve and beat out the other competition, good providers will work with their customers to provide the best plan and support for their customers. These customized solutions can range from flexible pricing, terms, service, billing, and products such as block and index or heat rate to providing methods of monitoring usage in real time. This helps you manage your energy budget and meet your business's goals.
Diversified Energy Environment
Deregulation of the energy industry leads to a diversified energy environment, not only with electricity and natural gas products, but with other energy initiatives as well, like Demand Response. This diversified environment not only gives buyers more options, but lets them have the ultimate power to decide where their energy comes from. Some of these include having the option to choose how energy efficient or green you want your power to be. Ultimately, there're a wider variety of energy initiatives and products so you can choose which suits your business rather than the more one-size-fits all approach in regulated areas.
Power To Choose
Lastly, you have the power to choose the plan that is the best for you. Before deregulation, choice was not an option. Now with deregulation, people in states all over the nation can choose where their energy is coming from and how much they have to pay. By having the power to choose your energy provider, the power of savings is in you hands.