Why Choose a Third-Party Energy Provider?
While most utility companies connect you to electricity and gas, energy suppliers actually supply the energy you and your local utility company depend on. Different energy providers produce energy in various ways, which include but are not limited to; natural gas, coal, hydroelectric, nuclear, solar, and wind energy. While each energy provider has different methods of producing and delivering energy, they are all part of the Energy concept. This concept is a means to an end, which is to supply energy to consumers at the lowest cost possible. So, when deciding on an energy supplier, it is important to look at how the company benefits the consumer.
First, before deciding on an energy supplier
it is important to find out what their fixed rates entail. Fixed-rate energy suppliers are not influenced by current market conditions and cannot be affected by fluctuating market prices. The majority of fixed-rate energy suppliers offer a standard rate regardless of which source of energy you use. In addition, they cannot increase their prices for any reason. Most often, a fixed rate supplier offers cost-effective energy choices to their customers.
Next, when comparing energy suppliers
you must compare what each offers in terms of service. While natural gas and electricity are delivered in the same way (from a compressor to the meter reader at the meter) each energy supplier provides slightly different delivery routes. Along with this, they also provide slightly varying levels of service. Lastly, some energy suppliers use a variable cost structure (CCS) which means that your monthly utility bill depends on the cost of the fuel, which you choose to use. For example, during cold weather months, you will generally pay more for your natural gas and probably less for electricity.
Along with comparing prices and services
it is also important to look at the track record of an energy supplier. There are many energy suppliers in North America today, but only a few of them have been consistently reliable. Unfortunately, if you decide to switch to a new energy supplier, you may not receive the level of service that you are used to. This can result in disruptions in your utility company’s operation or potential accidents due to equipment breakdowns. Switching to an unreliable provider can lead to an unhappy customer base and a large expense.
The recent deregulation of energy supplies
in British Columbia, Canada has resulted in many changes within the industry. Before deregulation, British Columbia’s energy providers were regulated by the British Columbia Hydro Authority (BC Hydro). Following deregulation, energy suppliers are now regulated by the Independent Gas Association of Canada (IGAC). Unlike before, when a client had to contact both British Columbia Hydro and IGR to get any information, now an IGR provider can submit its information directly to BC Hydro. This means that all regulatory requirements are fulfilled, making it easier for IGRs to provide competitive pricing to clients.
In addition to the above-mentioned advantages
there are other reasons why switching to a third-party energy supplier can be beneficial. Switching to a third-party electricity provider helps an IGR save money on both gas and electricity. Because most IGRs offer reduced-cost electricity and gas to their customers, they can pass those savings along to their customers. Eliminating the need to invest additional capital into infrastructure and operations helps to provide IGRs with a competitive edge.