February Pricing – Understand the Recent Spike in Electricity Prices
February 6, 2026
February Pricing – Understand the Recent Spike in Electricity Prices
Chart Description: Solid lines reflect current ISO market prices (PJM and MISO), while dotted lines show Realgy’s settlement costs, which lag due to settlement timing.
Realgy purchases power in the month it is incurred, while utilities reconcile wholesale costs later and pass them through over time to minimize rate shock.
Weather plays a significant role in electricity pricing. In early February, the wholesale electricity market experienced a sharp but short-lived price spike. While extreme weather was a major driver, several additional factors contributed to the increase.
What Caused the Spike?
Extreme Winter Weather
Cold temperatures across the Midwest and Mid-Atlantic significantly increased electricity demand as homes and businesses relied more heavily on heating systems.
Reduced Reserve Power
Independent System Operators (ISOs) maintain reserve generation to support unexpected increases in demand. During this period, reserve power was lower than normal, limiting the system’s ability to respond to higher load.
Aging Generation Infrastructure
Older Coal Plants that were originally scheduled to retire have now been declared national security and required to remain open. These coal plants break down frequently and are costly to fix, leading to tightened supply during peak demand periods.
Seasonal Maintenance Outages
Winter is a common time for generator maintenance. With fewer generators available and higher demand, price spikes will ensue.
What’s Next?
Wholesale pricing has already started to stabilize and trend downward. Current projections indicate march pricing should return closer to January levels.
Utilities such as ComEd, Ameren, And MEC purchase power from the wholesale market and pass these costs through customers with a delay.
At Realgy Energy, we closely monitor the wholesale market and adjust pricing proactively to reflect changing conditions. Temporary price adjustments made for mid-February were a direct response to these market dynamics and were designed to protect long-term stability for our customers.
We remain committed to transparency and will continue to track market trends closely to provide competitive and reliable energy solutions.
Realgy Energy Services is a registered Retail Energy Marketer serving commercial customers in the states of Illinois, 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. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 11 solar plants in Illinois and is looking to invest in additional locations. Soon to be 12 with the inclusion of Highland Park newest recreation center West Ridge Center – New Community Recreation Facility Coming in 2026 | Park District of Highland Park
Additional Information:
PriceWatch™ for Winter 2018 – 2019
Realgy’s PriceWatchTM service continuously monitors the natural gas market to bring you the best fixed rates when it can reduce costs over a recommended time period.
Last winter was 15% warmer than a Normal winter. Previous winters have included the words “Polar Vortex”… This year’s forecast was for a warmer winter. However, it has been colder than predicted. Last winter, Realgy’s PriceWatchTM recommendation saved customers 13.7 %.
Since September, natural gas prices have increased nearly 40%; from $3.00 to over $4.00 (wholesale prices).
Realgy Energy Services, your natural gas supplier is NOT recommending that you lock in this winter’s price for natural gas. Our fixed price would be above the utility. The reason is due to this price spike. The forecasted weather was for a warmer winter, but it has been colder; that in conjunction with low storage amounts has resulted in the unexpected increase. Realgy will continue to monitor natural gas prices and will provide a fixed price when we can provide savings.
If you have ANY Questions, please contact our Customer Care Team at support@realgy.com.
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.
Alternative electric supplier uses ‘deceptive’ practices, lawsuit claims
The Illinois Attorney General is actively investigating and prosecuting deceptive practices of energy marketers. NY is cracking down as well. Realgy welcomes such investigations and inquiries.
Consumer abuse and misleading statements we hear about every day include:
- Customers being sold a fixed price that expires after one month to be replaced with a “market based variable rate” which is above the utilities default service.
- A fixed price that is so far above the utilities price it could never provide savings to a customer.
- Cancellation fee(s) that are intended to prevent a customer from switching away from a marketer; not to recover any legitimate cost.
Realgy helps alleviate such abuse and misleading sales tactics every day:
- Realgy’s pricing is routinely below the utilities we supply for (such as Nipsco, ComEd, Ameren, Nicor, Peoples, North Shore and MidAmerican).
- Realgy’s energy cost is historically lower than other choice suppliers.
- Realgy offers residential fixed pricing ONLY for a season; thereby protecting the customer from any sudden price spike.
- Realgy is listed as a choice supplier on the utility’s website as well as with the public utilities commission.
Many calls that customers receive are from companies that will tell you their supply cost is lower but, that doesn’t always include extra portions that increase their actual rates. Realgy is honest and up front about what your costs will be and how you would see them appear on your bill. We clearly state how our program works for each customer and we make sure to answer any questions they may have. Realgy is proud to save our customer’s money on their utility supply.
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.
Additional Information:
Natural gas prices have changed 25% in 4 weeks!
Does the words “Polar Vortex” strike fear into you?
If so, this CNBC article, Wild ride for natural gas signals volatile winter ahead, describes record production of natural gas and the forecast of colder weather similar to last winter.
So, the winter forecast is cold and there is abundant natural gas…..the question is at what price.
To avoid the uncertainty of winter gas prices Realgy offers:
Storage service’ “Winter gas at Summer prices” and PriceWatchTM (fixed price)
Please contact our Customer Service department for additional information at 877-300-6747 x1000
Read the whole CNBC article “Wild ride for natural gas signals volatile winter ahead”
PriceWatch™ and Natural Gas Storage Season
It is that time of the year when Realgy Energy Services starts to send out our PriceWatch™ emails; look for it in your email anytime from October to November. Supplies of natural gas in storage begin to be applied to your monthly natural gas usage starting November 1st.
PriceWatch™ monitors the natural gas market to pin-point the most advantageous time for our natural gas customers to lock in a rate for the winter heating months.
Realgy will only send out a PriceWatch™ email if we can lock our customers in at a rate that will save them money. If you would like more information on PriceWatch™, please visit our blog post What is PriceWatch™?
Natural Gas Storage is the service of purchasing a percentage of your annual gas usage during the summer months and storing it. This stored gas is then delivered to you during the winter months. That is why we call it “winter gas at summer prices.”
Realgy offers this storage program whenever we can. If your utility allows Realgy to offer a storage program, it will be listed in our Service Plan table on our website realgyenergyservices.com.
For more information on the Natural Gas Storage program please visit our blog posts: Natural Gas Storage Season is Here and So What Exactly is Natural Gas Storage
If you have any further questions please feel free to contact a Realgy Energy Services Customer Service Representative by phone (877)-300-6747, by email support@realgy.com, by fax (860)-233 -3884, or by mail 675 Oakwood Avenue, West Hartford, CT 06110.
What is PriceWatch™?
Realgy Energy Services offers our PriceWatch™ winter fixed-price program to all of our Natural Gas customers who have a valid email address on file.
PriceWatch™ utilizes Realgy Energy Services’ proprietary trading and computer services. PriceWatchTM is designed to send out alerts when fixed pricing is such that it can reduce costs over the winter months.
It’s that time of year again when Realgy’s staff of Energy Advisers start to look into the future to see whether locking in your natural gas at a certain price for the winter months will save you money.
Our Energy Advisers start monitoring the market prices of natural gas in early August and continue to monitor prices through September and October. Historically, natural gas prices are lower in September and October before rising again in the winter months due to rising demand.
Realgy’s staff of Energy Advisers monitor future prices every day to recommend the best time to lock in a price so our customers save the most money on their natural gas usage this winter season.
PriceWatch™ is time-sensitive and requires all customers who want to participate to have a valid email address on file with Realgy Energy Services.
Our Energy Advisers need a response within 48 hours in order to lock in the best price.
PriceWatch™ Benefits
- We monitor the market and recommend pricing
- We charge no additional fee
- You choose to participate
- You are protected against rapid price increases
- Not a one-time purchase but proactive consultation
If you have any further questions please feel free to contact a Realgy Energy Services Customer Service Representative by phone, (877) 300-6747, by email, support@realgy.com, by fax (860) 233-3884, or by mail, 675 Oakwood Avenue, West Hartford, CT 06110.