Natural gas prices are rising. That’s worse news for ratepayers than utilities.
Higher energy prices: who pays them?
A utility pays for them BUT passes the costs through to customers. Utilities do not own the natural gas or they own very little electric generation. They buy on the wholesale market and pay market-based rates. Usually, their payment terms are to buy the gas and electricity but pay for it 60 days after its used. In that way, they use it in the current month, let’s say January, invoice for it in February, and pay the wholesale company back in March. Then do it all again. So, the price they pass through to customers is normally delayed 60 days.
Energy marketers or third-party suppliers buy in the wholesale market and typically repay the wholesale company after 30 days. This means they invoice the current cost immediately. So, there is no delay like with the utilities.
HOWEVER, in both cases the customers end up paying for the wholesale supply. The only question is, do you pay it immediately or after 60 days?
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. 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. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations.
Additional Information: https://energynews.us/2022/10/12/natural-gas-prices-are-rising-thats-worse-news-for-ratepayers-than-utilities/
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Rising temperatures ahead
Trying to stay cool in rising temperatures causes electric bills to increase. Higher usage from running those AC units and fans is inevitable. On top of the norm, this year’s spikes in rates are further upping costs.
Through your utility, you can review options to use less energy and get tips on how to lower your bill through the summer heat. Check out your utility’s website or give them a call to discuss ways to manage your bill.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. 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. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations.
Additional Information: https://www.eversource.com/content/ct-c/residential/account-billing/manage-bill/about-your-bill/energy-bill-assistance
Michigan’s stride to clean energy?
Michigan has over 10 utilities and each must submit to the MPSC their plan to reduce emissions.
Governor Whitmer will be issuing an executive order on Climate Solutions within the next months.
Consumers Energy is proposing to phase out all its coal plants by 2025, which is good. However, it further proposes to acquire and build new gas plants; less good.
DTE Energy will be filing their plan later in 2022.
Crafting energy policy is very delicate as it requires ramping up investment in alternatives while continuing to meet present energy needs.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. 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. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations.
Additional Information: What’s next for Michigan’s stride to clean energy? – Energy News Network
Natural gas surges 14% as cold snap ahead is expected to boost demand
US natural gas futures surged 14% in early January 2022. This is on top of recent increases beginning in the fall of last year. In early October into November 2021 oil and natural gas prices surged.
Natural gas is a commodity purchased from suppliers (including utilities) at published prices. Typically, the price referenced is the NYMEX. All natural gas suppliers are impacted by the same cost increase. However, some suppliers such as utilities can delay the impact due to their regulatory price recovery. This can be understood when utilities do not share storage with their third-party suppliers. Natural gas in storage will not increase when the market price does. Those utilities can appear to have a lower price when in fact they just bought the gas during the summer and stored it. Michigan utilities operate like this; they do not provide their customer choosing a gas supplier with their share of storage volume. Therefore, the energy suppliers in Michigan cannot readily offer storage to their customer. Illinois utilities share their storage volumes equally between choice and tariff customers. Therefore, Illinois customer choice customers have nearly 20% of their winter gas purchased during the summer. Realgy calls this our Storage Program see Storage – Realgy Energy Services.
Natural gas pricing was not expected to rise significantly. However, Covid, weather, and consumer behaviors changed that forecast.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. 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. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations. Currently we are in construction of our 8th project with the park district of Highland Park.
Additional Information:
How Will the Natural Gas Shortage Impact Fuel Dealers and Homeowners? – OILMAN Magazine
Natural gas surges 14% as cold snap ahead is expected to boost demand (cnbc.com)
Realgy Wins Award For 2020 Lowest Residential Electricity Rate in Illinois
PRESS RELEASE
Realgy Wins Award For 2020 Lowest Residential Electricity Rate in Illinois
11 NOVEMBER 2021 | BY: REALGY, LLC
Energy research group Find Energy highlights outstanding electricity companies throughout the country. They recently announced Realgy Energy Services won the coveted award for Lowest Residential Rate in Illinois for 2020.
Data compiled found Realgy’s average residential rate was more than 35% below the national average. Find Energy also reported Realgy’s residential customer bills are about 22% lower than the US average.
President Michael Vrtis says, “This is a testament to our operations team’s commitment to uphold competitive prices and our customer care team’s dedication to providing top service. We appreciate our community and their continued business allowing us to best serve the state of Illinois.”
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. 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. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations.
Additional Information: https://findenergy.com/providers/realgy-energy-services/
Europe’s Energy Crisis Worsens As Wind Stops Blowing
Energy prices have skyrocketed throughout Europe. The reopening of EU economies increased gas demand and resulted in a natural gas shortage. On top of that, lower wind power generation from unexpectedly mild weather caused the normal output of 24 GW to be less than 1 GW over several days. Coal plants had to be restarted to create enough electricity. The record high prices and low supply are a large concern especially with winter approaching.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. 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. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations.
Additional Information: https://oilprice.com/Latest-Energy-News/World-News/Europes-Energy-Crisis-Worsens-As-Wind-Stops-Blowing.html
With energy bill in limbo, Ill. braces for nuclear closure
The shutdown of some of the USA’s largest coal plants in Illinois, Byron and Prairie State has been the subject of scrutiny. The discussion on the future of power plants surrounds a recently passed energy and climate bill.
Many supporting the legislation want the state to buckle down on ending fossil fuel usage by 2045. However, the bill didn’t include specifics on lessening emissions for electric generation until then. Amendments are underway regarding requirements of plants to reduce emissions by 2035 to transition toward the 2045 goal. Illinois’ Clean Jobs Coalition and Governor Pritzker support these revisions but, challenges lie in the finances and logistics.
Clean Jobs Illinois questions how to ensure jobs aren’t lost from closures and redirection into renewable energy positions. While the state has pledged to preserve jobs and decrease emissions, studies show phasing out locations would cause other plants to make up for lost production bringing about additional emissions. They also claim Illinois will not see renewable energy developments for years unless there is legislative action.
Advocates state we don’t have time to allow these plants to run for even 5 more years let alone the suggested 25 years. However, incentive funding from the Future Energy Jobs Act has already been depleted and new projects are down 90% compared to the last year. This bill needs to see both sides come to a compromise to reach our energy goals.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. 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. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations.
Additional Information: https://www.eenews.net/articles/with-energy-bill-in-limbo-ill-braces-for-nuclear-closure/
Michigan Launches Inquest into Power Outages
Last week’s Michigan storms left over 1 million customers without power. Many were in the dark for over a week. Damage assessment and restoration are a priority as is planning and preparation for these disasters. Residents want to see improvement in all areas and the MPSC states “… we have more work to do, and we have to do it faster.”
Concerns aren’t limited to the Midwest and are voiced across the country since the increase in frequent, intense storms are apparent. We can’t rely solely on historical data to prepare for the ever-changing weather. The MPSC is pushing utilities to be more transparent around their efforts while encouraging customers to discuss impacts of outages, especially those that are more at risk.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. 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. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations.
Additional Information: https://thesuntimesnews.com/g/chelsea-mi/n/39406/state-launches-inquest-power-outages