Indiana’s Electric Rate Hurts Competitiveness
One measure of competitiveness is the price of electricity in a State.
Indiana has gone from 5th lowest in the Nation in 2003 to 26th in 2014 (electric rates went up)!
Surrounding States have all improved (lowered their electric costs).
A major difference: all surround States have implemented electric choice.
Electric Choice allows customers to purchase their energy from a wholesale supplier without any utility markup. The idea: give customers a choice and direct access to the energy markets and have competition do what competition does; lower costs and improve services.
In Illinois, not exactly the most business friendly state for taxes, electric savings have exceeded $37 BILLION. http://realgyenergyservices.com/competition-work-tune-37-billion/
In NIPSCO and Citizens Energy, where they have customer choice programs for natural gas customers, Realgy’s average customer is saving money monthly:
- Citizens Energy: over last 36 months savings of $6,643: http://realgyenergyservices.com/service-plans-52/
- NIPSCO: over last 36 months savings of $6,581: http://realgyenergyservices.com/service-plans-47/
In Indiana: some of the biggest utilities do not offer customer choice for natural gas service; this includes Vectren, Duke and AEP. No utility in Indiana is offering customer choice for their electric service.
Competition in energy markets has been demonstrated to lower costs. Surrounding States’ to Indiana have lower electric costs in-part because of implementing electric choice. Natural gas costs are more competitive in NIPSCO and Citizens due to customer choice.
Realgy supports customer choice for energy, our experience has demonstrated that it saves consumers time and money in energy use and decisions.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan and Indiana. We offer Service Plans that will provide electric and natural gas at wholesale pricing direct to customers without any utility markup. Our Service Plans work with the local utility to provide seamless service and annual energy savings. Additional information: www.realgyenergyservices.com
Supporting Article: http://www.nwitimes.com/business/industry-indiana-electric-rates-hurt-competitiveness/article_a10b7072-4e2f-51a7-8ed0-0b99c4e4ce01.html
Realgy joins GE, Travelers and Aetna in opposing Connecticut’s unitary tax
Realgy operates as an energy services company which sells natural gas, electricity and related services in the States’ of Illinois, Indiana and Michigan.
Most of our employees are located in Connecticut, in which we earn NO revenue.
Below is a table that shows a simplified representation of where we earn revenue and where we pay tax in the state where we earn it.
Connecticut taxes are based on a ratio of revenue (in states where we do not pay state tax), payroll and property taxes. The other states are purely revenue based tax.
So as depicted above we do not pay Connecticut any state sales taxes when we earn and pay taxes for that revenue in other states.
However, we are currently before the state of Connecticut tax commission which wants to recognize the income in other states as being earned and taxable in Connecticut.
This would results in Realgy PAYING TAX in the state where we earn and currently pay tax and IN CONNECTICUT where we do not earn any revenue.
Realgy does pay tax in Connecticut for our employees and for revenue earned in states where we do not pay taxes.
If Connecticut tax commission is successful in their audit it will result in a charge to Realgy of some $20,000 in additional taxes owed (for this year and each year hereafter). Again, we have already paid taxes on this income in other states.
The issue of unitary tax being commented on by the large companies is exactly what we are facing before the CT tax commission. The CT legislature is going after the big companies that have split up the companies legally to avoid the double taxation by CT.
If CT is going to tax ALL of a company’s revenue, in addition to paying local property and payroll taxes, keeping multinationals or small companies (like Realgy) that work in other states headquartered in CT will be a very difficult proposition.
Cost Regulations
2015 ENERGY REGULATIONS LEAD TO HIGHER EQUIPMENT COSTS, BUT WILL THEY HELP YOU SAVE ON ELECTRICITY AND NATURAL GAS?
The Department of Energy has implemented new efficiency regulations on electric and natural gas water heaters as well as air conditioning equipment for 2015. The standards will make new equipment slightly more energy efficient, however, the savings will, for the most part, be insignificant. The increased cost of new equipment will be pricey for homeowners upfront. The resulting savings per household for reduced electricity and natural do pay for the upgrade.
The air conditioning equipment regulations went into effect on January 1, 2015. They apply to split air conditioners and heat pumps as well as traditional central AC compressors. The regulations call for new equipment to increase the Seasonal Energy Efficiency Ratio (SEER) from 13 to 14. The one point SEER increase is fairly negligible from a cost savings standpoint, but the reduction in energy usage across millions of household will add up. The one point translates to roughly 7% electricity savings per year for the average household. Based on national electricity usage and cost averages this would equate to savings of approximately $18 per year.
The most significant referenced downside associated with the new HVAC regulation revolves around the higher cost of the equipment and installation. New equipment will be larger and will likely require most all parts of the AC system to be replaced, not just the compressor. Also, because the equipment will be larger, some very small homes may require modifications to accommodate the larger equipment.
Regulations affecting water heaters run by electricity and natural gas took effect on April 16, 2015. The pros and cons parallel that of the AC standards. The new efficiency guidelines have resulted in more costly equipment. By some estimates new water heaters will cost roughly $120 more. In addition the new equipment means a more complex, time-consuming installation with more expensive parts. Electricity and natural gas savings will vary widely based on the size of your tank.
The changes the US Government is taking are part of a larger trend by all governments worldwide towards implementing more energy efficient regulation. Initial upfront cost is certainly a factor taken into account by such regulations, but cited more frequently are the health and environmental benefits that will compound yearly as a result of reduced emissions and improved air quality.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan and Indiana. We offer Service Plans that will provide electric and natural gas at wholesale pricing direct to customers without any utility markup. Our Service Plans work with the local utility to provide seamless service and annual savings. Additional information: www.realgyenergyservices.com
Wind power…in all 50 states
Look outside: chances are you don’t see a wind turbine or a fifty story building. But, chances are, within 5 years, you will see a fifty story wind turbine!
Currently, the United States produces about 65 gigawatts across 38 states. However given the recent gains in technology, the Energy Department forecasts that wind power could contribute 16,150 gigawatts…this is 10x more power than we currently consume!
So will wind power drive our future. In will certainly be a growing contribution and here is why:
1. Climate change: the warmer the climate the more wind is produced
2. Larger Scale: as wind turbine design grows the economics for large scale development improve
3. Smaller Scale: new technology allows for efficient small deployment (think 1-2 homes)
Climate change is driving weather changes. These weather changes are becoming more pronounced. Weather forecasting is showing that current trends will continue resulting in wind speeds that provide for larger scale wind turbines.
Larger scale: Currently, the largest wind turbines are 260 feet. The higher the wind turbine reaches, the faster the wind blows so getting larger means you can install a wind turbine and compete with the economics of coal. Current designs are being planned for 460 feet; that’s nearly as tall as a fifty story building.
Smaller scale: a wind turbines without spinning blades! It looks like asparagus but rises between 25-100 feet depending on location. The trunk of the column spins (no blades) and the power is generated in the base. This type of wind turbine is safe for use in residential neighborhoods.
As we learn: With change comes opportunity and certainly power development and climate is changing.
Keep looking for the wind turbines, they are coming.
Realgy Energy Services provides power to Illinois customers that is produced from renewable resources such as solar, wind and hydro (water). It’s called ManagedGreenTM; it’s priced slightly below the utility cost of service and provides health and environmental benefits. Consider that the average mid-west home uses about 10,859 kWh/year if that power comes from Realgy’s ManagedGreenTM service it would result in the following benefits:
1. Reduction in 29,295 lbs. of coal/year
a. 7,595 lbs. of CO2 NOT emitted
b. No sulfur, lead or waste emissions
c. 29 fewer trucks on the road
2. Equivalent of 584 trees planted
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan and Indiana. We offer Service Plans that will provide electric and natural gas at wholesale pricing direct to customers without any utility markup. Our Service Plans work with the local utility to provide seamless service and annual energy savings. Additional information: www.realgyenergyservices.com
Links to contributing articles:
http://www.iflscience.com/technology/new-bladeless-wind-turbine-looks-asparagus
The Cost of Lighting
TODAY’S LIGHT BULBS CAN SAVE YOU MONEY ON ELECTRICITY, BUT DID YOU KNOW THAT YOU CAN ALSO SAVE ON THE ELECTRICTY ITSELF?
The light bulb has come a long way. Today’s bulbs last longer and use less electricity, but despite the advances in technology they still lead to the consumption of considerable quantities of energy for residential and commercial electricity users. Lighting is responsible for consuming the second largest quantity of electricity in US homes, behind air conditioning. Moving towards a more efficient lighting solution with high efficiency light bulbs is a great way to save money on electricity, but some residents and businesses don’t realize that they could be paying less for the electricity itself.
Let’s first look at the light bulb as a source of savings. New laws have raised minimum efficiency standards for traditional incandescent light bulbs. Incandescent bulbs use a lot of energy to produce light; about 90% of their energy is given off as heat. The new laws require the most popular 60-watt bulb, for example, to be roughly 25% more efficient. Today’s two most popular alternative bulbs far exceed those regulations. They are the compact florescent lamps (CFL’s) and light emitting diode (LED). CFL bulbs that are energy star qualified use about 75% less energy, and can last up to ten times longer than traditional incandescent. LED’s use about 85% – 90% less electricity and will last up to twenty five times longer. Furthermore, LED bulbs continue to improve in efficiency and quality. The below chart shows how LED bulbs compare to the other leading options.
New lighting technologies make it possible for both residential and commercial electricity customers to cut energy usage and reduce electricity costs, but now let’s consider the electricity itself. Not everyone is utilizing the most efficient solution available. Utilities provide one option, however residential and business customers have the option to choose their electricity provider in markets with electric choice. The right provider can often help deliver the same electricity for less than the utility.
Realgy Energy Services provides an excellent alternative to the utilities by helping customers accomplish their energy savings goals through strategic energy plans. Realgy Energy Services spends 1-2 years conducting analysis and modeling area’s energy requirements, energy costs, utility delivery rules, etc. As a result when we approach potential clients we are ready to offer an effective plan that will provide real savings. When you combine the lower cost of your energy consumption by using energy efficient light bulbs, with the lower cost of the electricity, the savings can be significant.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan and Indiana. We offer Service Plans that will provide electric and natural gas at wholesale pricing direct to customers without any utility markup. Our Service Plans work with the local utility to provide seamless service and annual energy savings. Additional information: www.realgyenergyservices.com
Nine coal plants to be retired across Michigan as Consumers Energy looks to provide reliable, affordable, clean energy
Retiring coal plants will be replaced with renewables THAT lowers customers energy costs…..outstanding.
Due to a requirement to come into compliance with clean air regulations, mainly to reduce toxic air emissions from combusting coal (such as mercury, dioxins, etc), many coal plant owners have found it more economical to shut them down.
Nine of these plants are located in Michigan and supply about one million customers their power needs.
Replacing this power will come from renewable energy and energy efficiency programs. Reread that statement; renewable energy and a reduction in energy usage. This is due in part to Michigan’s energy policy that encourages renewables and efficiency.
After the coal plants are shut down and renewable energy and efficiency programs are in place the effect; current rates will be reduced by 5-15%.
Michigan can continue to create new jobs in Michigan, increase the use of renewable power and lower all customer energy prices by offering a customer choice program throughout the state instead of just for 10% of businesses.
Competition has been shown to reduce energy costs and provide a more robust energy mix for customers.
Consider that Illinois has documented savings of over $75 Billion since the start of their customer choice program.
http://realgyenergyservices.com/competition-work-tune-37-billion/
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan and Indiana. We offer Service Plans that will provide electric and natural gas at wholesale pricing direct to customers without any utility markup. Our Service Plans work with the local utility to provide seamless service and annual savings. Additional information: www.realgyenergyservices.com
Link to the original article:
http://www.mlive.com/environment/index.ssf/2015/02/nine_coal_plants_to_be_retired.html