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Larry's Page

The Chilling Facts on Deregulation

Electric deregulation in Maryland begins this summer, are you ready? We´ve talked for decades about electric monopolies; about how much money we will save when we buy our power from whoever we wanted; and about the benefits of competition. Well, now we have the opportunity to see first hand the benefits of electric competition. Will there be savings and will the savings be worth the time and risk?

The answers to these questions will come in time. But the time is NOW to take control over how we position our companies to move forward in the deregulated market place. Here are several key points to consider as we strengthen our negotiating positions.

Graph your electric peaks and valleys. Chart your daily, monthly and annual consumption Accurate information will be paramount in negotiating an electric contract.

Be flexible
Energy management systems that may not have played an important role in the past will now control electric peaks and daily kWh purchases to contract levels.

Negotiate end use options into the commodity contract
Many marketers will include a wide variety of equipment replacement options with their commodity contract. Take advantage of these offers during negotiations.

Know your local distributor's tariffs.
Your local power company will publish rates for back-up service, transition costs, distribution and billing expenses. Know how they will impact your total cost of electric service.

Research your power supplier's references and generation portfolio
Do your homework. Talk to your supplier´s existing customers. Determine the strength of the suppliers generation contracts.

If you air condition your building with electric chillers, Comfort Link will improve your electric load profile and provide more leverage when negotiating your electric contract. If you would like to know more about how Comfort Link will benefit you contact me at lshannahan@comfortlink.com.

 


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