In Response to “After six-year dispute, court orders $37 million ComEd refund”
Written by Michael Vrtis President of Realgy Energy Services in response to the Crain’s article After six-year dispute, court orders $37 million ComEd refund
So how do all the various entities work in overseeing a regulated utility or why does it take 6 years to refund overcharges?
This Crain’s article provides a great example, let’s look at the 3 steps:
STEP 1
The utility; ComEd has a monopoly to delivery electricity in its area and is overseen (regulated) by the Illinois Commerce Commission (ICC). ComEd wants to be paid more for providing service and goes to the ICC requesting an increase in fees from customers in exchange for providing better and more useful service.
The regulator; ICC approves a rate increase (and the improved service) for which ComEd begins charging customer
STEP 2
The Consumer Advocate; Citizens Utility Board (CUB) is an agency that seeks to ensure ComEd treats its customers (mainly residential) fairly. Remember ComEd is a monopoly and can only charge what the ICC (in some cases politicians) approve. The CUB sees that the ICC approval of the rate increase unfairly treated the consumer to the benefit of ComEd. So, CUB sues ComEd and wins.
The Court; orders the ICC to review the matter. Again, the court won’t get into the technical review (that’s why they sent it to the ICC for re-review).
STEP 3
This step is about appealing (delaying) the previous decisions….. in this case the ICC agrees with CUB and removes those funds from the rate base which means ComEd (having already collected them) has to return them. They don’t have to return them as they were received but by some form of distribution of the funds.
Of course, ComEd appeals to the appellate court (they review lower court decisions) and lost. The appellate court would have to overturn the ICC on technical issues to agree with ComEd.
So let’s see if the money is returned. This example illustrates that a regulated utility has many people who watch them and those who watch and act to hold all sides accountable really do serve the public interest.
How does this affect Realgy’s customers; they will receive a refund (depending on how ComEd disperses them) as this was a charge related to distribution of the wholesale supplied energy in part provided by Realgy.
Check out the Crain’s article: “After six-year dispute, court orders $37 million ComEd refund”
In Response to Chicago can’t beat ComEd price. So raise it?
Written by Michael Vrtis President of Realgy Energy Services in response to Chicago can’t beat ComEd price. So raise it?
Realgy DOES NOT support changing how the Illinois Power Agency buys power, so that our prices can be more competitive.
We already are:
- Realgy has been below ComEd monthly pricing since January 2012, Twenty-one straight months in a row!
- Our average commercial customer has saved $3,741.41
- Our average residential customer has saved $90.02
We compete in serving our customers, not just with lower priced energy but smarter buying strategies.
This price question is a result of municipal aggregation, where cities like Chicago want to be able to raise money by adding a surcharge onto the electric rate customers pay, and still show savings compared to the utility!
Municipalities select an energy marketer as their preferred vendor and require they add a surcharge to their cost which they pay to the city. The surcharge provides no value to the customer or the energy marketer.
Perhaps instead of looking to raise everyone’s price of power they should just get out of the aggregation business or look to actually add value for their surcharge.
Check out Crain’s article: “Chicago can’t beat ComEd price. So raise it?”
How To Squash Those Summer Utility Bills
Check out this great post by Farmers District Office 84
5 ways to save energy and stay cool this summer
1. Close your blinds!
Closing your blinds in the summer reduces radiant heat from the sun entering your house or office.
Even if you close the blinds only during peak sun hours this trick will help decrease the amount of radiant heating caused by the summer sun.
2. Set the thermostat to 78 degrees
Air conditioners will run at their optimal performance level when set at 78 degrees. Making it even 5 degrees lower will result in your AC using up to 40% more energy. Keep that thermostat at 78 degrees during the day and turn it down at night, to conserve the most energy.
3. Use passive cooling techniques
To reduce the need to turn on the AC try out some passive cooling techniques.
Passive cooling techniques include but are not limited to planting trees or hedges, installing window awnings, the use of fans, and opening and closing windows and blinds at the appropriate times of day. For example you would open windows at night for the cool breeze and close them along with blinds during peak sun hours.
4. Upgrade your windows
Replacing old single-pane windows with new dual-pane ones that include Low-emissivity (Low-E). The Low-E coating reduces energy loss by as much as 50%, and as a bonus you could be eligible for tax credits for buying energy star rated windows.
5. Reduce your energy costs
Enroll with Realgy Energy Services to save on your natural gas and electricity
These simple tricks coupled with Realgy Energy Services low rates can drastically reduce your energy costs this summer.
Check out Realgy Energy Services rates and see how much you could be saving www.realgyenergyservices.com Or Call one of our Energy Brokers today 877-300-6747.
Sources:
U.S Department of Energy, Energy Savers, Thermostats and Control Systems
The Daily Green, Close Your Blinds to Beat the Heat
Earth 911, 9 Ways to Ready Your home For Summer
Houzz, Life Without Air Conditioning? These Passively Cooled Homes Say Yes
U.S Department of Energy, Energy Savers, Window Types
How to keep your food safe during a power outage
Food in the refrigerator will be safe for up to 4 hours without power. Any longer than that and perishables such as meat, poultry, fish, eggs, and any leftovers should be discarded. Along with the perishables, toss anything that has been above 40 degrees for over 2 hours, according to federal food safety guidelines.
Freezers will stay cold for up to 48 hours if it is full and 24 hours if half full (just another reason to get that extra ice cream!) As long as the temperature does not go above 40 degrees for more than two hours food should be useable; even partially thawed food can be refrozen.
The key things to keep in mind:
- Keep the refrigerator and freezer closed – each time you open the door precious cold air is lost.
- NEVER taste food to tell if it is still good – it is safer to just toss it.
- Discard anything that has come in contact with raw meat or its juices.
- 40 degrees is the magic number – if it is 40 degrees discard it.
Sources:
FoodSafety.gov, Refrigerated Food and Power Outages: When to Save and When to Throw Out
FoodSafety.gov, Frozen Food and Power Outages: When to Save and When to Throw Out
CDC, What You Need to Know When the Power Goes Out Unexpectedly
In response to “How ComEd’s rate design benefits suburbs over the city”
Written by Michael Vrtis, President of Realgy Energy Services in response to Crain’s article “How ComEd’s rate design benefits suburbs over the city”
ComEd is one member of a larger group of utilities called PJM. Each utility that makes up the power pool of PJM sets how its own method of collecting the costs of running the power plants and transmission lines. This makes the PJM pool a low-cost producer with great reliability.
PJM has notified its members (who voted for it years ago) about his change.
ComEd can allocate capacity costs in any manner it wishes; however, ComEd chooses not to change its collection approach which has stayed the same for more than 20 years.
ComEd doesn’t need smart meters to make this change, it needs smarter policy.
Allocating capacity based on aggregate demand of the load center serving a municipality is possible as well as more equitable than the broad and out-dated policy of ComEd.
Realgy already operates under PJM capacity allocation rules and we will continue to be the residential and business choice where energy is all about price, information, and service.
Check out Crain’s article: “How ComEd’s rate design benefits suburbs over the city”
Electric Paint
A group of students from the Royal College of Art in London have created an electrically conductive paint. This electrical paint called “Bare Paint” makes it possible to apply liquid wiring to paper, plastic, metal, fabric and even skin.
The electrical paint was even used in a video “Humanthesizer” by DJ and producer Calvin Harris featuring his song “Ready for the Weekend”. Dancers who had been painted with the electrical paint triggered audio loops from the song by dancing.
Read the whole story “Liquid lights and musical posters: Welcome to the world of electric paint”
In response to “ComEd rates are set to surge”
Written by Michael Vrtis, President of Realgy Energy Services in response to the Crain’s article “ComEd rates are set to surge”
The headline is clear, the timing is a year away…so what to do?
Short-term power planning normally means a 10 year span because power infrastructure (such as pipelines, power plants, distribution lines, etc) have useful lives of 25 years.
So, while the talk about a year-to-year rate hike is not unique, it is certainly unnecessary.
This is the result of Illinois legislators giving ComEd approval for expenditures (which result in rate or cost increases) that the regulators (think of them as the technical advisors) can’t review, modify, or reject. The result is political involvement and rate shock.
Perhaps the 23% rate increase will provide benefit; that is usually how the regulators hold the utility accountable. However, when the politicians approved this increase, guess who will, in turn, hold the utility accountable? That’s right, not a soul.
What to do? Sign up with Realgy Energy Services. Realgy has delivered costs below ComEd for over 5 years. We will continue to provide a fixed price that will reduce this unnecessary rate shock.
Check out Realgy Energy Services ComEd rates for May 2013 and see how much you could be saving www.realgyenergyservices.com Or Call one of our Energy Brokers today 877-300-6747.
Read the whole Crain’s article: “ComEd rates are set to surge”
In response to “Quinn vetoes ComEd rate hike bill”
Written by Michael Vrtis, President of Realgy Energy Services in response to the Crain’s article “Quinn vetoes ComEd rate hike bill”
Governor Quinn is sending a political message that should not pass through more thoughtful consideration of legislators. ComEd has already received approval from the legislators to bypass the ICC in their review and approval of their rates. ComEd has politicized the rate setting process instead of relying on the experienced technical and financial input of regulators.
While they may be successful in the short term, eventually the regulators will have to review their rates and then the balance will likely be restored. Allowing politicians to approve utility plans is not good policy and is even worse for rate payers.
Check out the Crain’s article: “Quinn vetoes ComEd rate hike bill”
ServiceMatch™
For all our natural gas and electric customers not currently on a fixed price, Realgy offers ServiceMatchTM as follows:
ServiceMatchTMBuyer has the right to present all written offers to RES that provide pricing and terms for service under the Program. RES will match the proposed terms and pricing from all qualified electric or natural gas service providers. If RES cannot offer better terms or pricing or match the same terms and pricing, RES will transfer Buyer to the new electric or natural gas supplier upon Buyer’s written request at the end of the Term. ServiceMatchTM is not valid when Buyer has a Fixed Price.
Please be aware that ServiceMatchTM is not a new service.
Realgy offers this and other services including but not limited to PriceWatchTM and natural gas storage, to all our eligible customers.
If you have any questions regarding ServiceMatchTM, fixed prices, or the end of your current Term, contact a Realgy Energy Services customer service representative at 860-300-6747.