Many states in the U.S. have taken steps towards energy deregulation. This is great for consumers in those states as they can now choose the electric or natural gas supplier with the best rates and contracts. With Finance Guru, you can easily compare suppliers in your area to find the best rates and contract terms.
In a quick explanation, deregulation means you now have the option to choose your energy supplier instead of being stuck with just the one provider offered by your state or local government. It makes the energy markets competitive, since natural gas and electric companies must compete for your business. Suppliers are offering incentives, lowering rates and offering services that will help you reduce you carbon footprint. This is a big change from old markets where you were stuck with one energy supplier and had to pay their rates if you wanted power and heat in your home.
No matter who you choose for your supplier, the local utility will still maintain the lines, upgrades, and repairs to the infrastructure that delivers the energy. It’s a simple switch - if you change suppliers, they don’t have to run new lines to you home. You could start saving money on your energy bills today.
Who Can Switch – Areas with Energy Deregulation?
Not all markets in the US have deregulated energy; it depends on the state you live in. Some states have deregulated electricity, others only have deregulated natural gas markets, and some states have both. Check here to see if you can switch by entering your zip code in our rate comparison tool.
What Retailer Should You Choose?
When choosing a new energy provider there are some things to consider: review your past usage and lifestyle. Energy companies offer two types of supply plans: fixed and variable rates. As their name describes, fixed rate secures the rate for the entire term of the contract.
A variable rate plan will allow the rate to fluctuate but doesn’t have the long-term contract. Variable rate plans are better for those that are renting for the short term and fixed rates plans are typically purchased for residents that own their home.