Electricity bills in the Connecticut Light & Power service area are increasingly being reduced due to competitive power rates being offered by alternative CL&P energy suppliers. Customers are lowering the price they pay for electricity by choosing to sign electricity agreements with alternative energy suppliers who are licensed by the state of Connecticut. Choice awareness among the CL&P residential class has expanded in recent months due to rising generation supply rates that are offered by CL&P. Customers who do not choose an alternative CL&P energy supplier pay a default rate for their electricity; that rate recently saw a 25% increase.

Alternative energy suppliers have entered the Connecticut electricity choice market in hopes of gaining market share by offering electricity rates that are lower than the CL&P default price. Energy shoppers are becoming more aware of their options as alternative electricity suppliers have increased their marketing budgets. The infusion of new energy suppliers are helping to educate a larger pool of customers so that they can take advantage of the best CL&P electricity prices being offered that can result in substantial monthly savings.

Whenever rates see a significant increase consumers start to look for alternative solutions. In energy choice states such as Connecticut, the clear alternative is to shop around for a lower electricity rate. Connecticut people who are switching to alternative suppliers for the first time are often surprised as to how easy the process is and wonder why they haven’t done it sooner. The CL&P basic generation charges, the default rate, had remained stable over the last year before January 2015. With stable prices uninterested customers had little incentive to learn about electricity choice and shop the market. Now with savings above 30%, the incentive is there for customers to learn about alternative energy suppliers and their offers.

Duquesne Light no longer offers the cheapest electric rates in Pittsburgh. The keystone state’s decision to restructure their electricity market and give consumers a choice of who supplies their home with power has pushed prices down.

Competition has allowed alternative energy companies to enter the market, offering electric rates that are cheaper than Duquesne Light rates. Duquesne Light serves as the regulated power delivery company in the Pittsburgh area. They charge utility delivery rates that are monitored by the Pennsylvania Public Utility Commission, as well as default supply rates for Pittsburgh electricity consumers who do not take the time to shop for cheaper electric rates.

Customers in Pittsburgh looking to lower their Duquesne electric bill can to so easily by selecting a competitive electric rate from an alternative electricity company. The competitive electric rate will simply replace the Duquesne Light default rate on the bill, so if the rate is lower the customer’s bill will be less.

See updated electric rate offers below being offered in the Duquesne Light service area.

Electricity prices will lower in Connecticut for CL&P residential customers who remain on generation default service.  Despite the lower prices, Connecticut Light and Power customers can still save even more by choosing an electric rate offer from an third party electricity supplier.

Over the last year electric rates for residential customers were on average 15% lower than Connecticut Light and Power default rates.  Despite this only 32.5 percent of customers who are serviced by the utility CL&P had chosen an alternative electric company.

Much of the hesitation remains on the side of confusion of consumers.  Many consumers wish to “stay loyal” to CL&P, however based on the Connecticut Electric Choice Act that statement would not make sense.  CL&P does not profit off of their Generation Service Charge, which is default service for electricity customers who have not chosen an alternative electric offer.  They now only profit off of the regulated rates and charges of the delivery portion of the bill.

Connecticut Light and Power customers can also find attractive introductory bonuses in addition to lower electric rates.

The variable rate will give you the option of leaving at anytime.  Though we feel it is better to lock in a low fixed rate, if you are looking to get your feet wet with electricity choice, the variable rate can offer a good starting point.

Glacial Energy is an alternative electric supplier located in nearly every deregulated market in the U.S. including Pennsylvania, New Jersey, Maryland, New York, and Texas.

On the positive side they offer an easy to read contract agreement to customers and generally, like most alternative suppliers, can offer customers on default service savings.

On the negative side, they rarely offer fixed rate contracts or a variable product tied directly to the wholesale electricity market.  Instead, they offer what they call a “Glacial Index” rate.  The Glacial Index rate is essentially a floating rate that has no boundaries as to how high it can go.  Furthermore, they require their customers to lock in for a term of 12 months or more.  With a floating rate product such as this there should be no need to have to commit to a 12 month term agreement.

If you’re a small business looking for savings on your electricity bill and are still on default service, you will most likely save some money by signing with Glacial Energy in the short term, however I would caution that in the long term they can increase your rate at any given time if you are on their Glacial Index product.

More serious consumers should look to compare electric rates and sign a contract with a provider that offers a fixed rate or a floating index rate that is tied directly to the wholesale market in which case you are taking a calculated risk.  The Glacial Index is random risk with Glacial having all of the power to increase the rates at anytime.