GREENCROWN Energy recommends that clients who are on a variable electricity rate consider fixed price options, as converting your variable product to a fixed price does not trigger any early termination fees and the transition is effective the following meter read date. GCE has been advising our clients and prospects for the last 5 months to lock in to fixed priced utility options and our guidance has helped hundreds of our followers weather this utility storm.
Cold temperatures across much of the country have caused electricity prices to increase 5 to 15 times their recent averages, especially in the Northeast and Mid-Atlantic markets. The average wholesale price for electricity in New England today is expected to be around $400/MWh ($0.40 per kWh) when it is normally closer to $60/MWh ($0.06 per kWh), and prices in parts of New Jersey will average over $450/MWh ($0.45 per kWh) compared to a more typical $50/MWh ($0.05 per kWh).
We expect these high electricity prices to persist through the end of next week.
If you are on a pricing product that exposes you to hourly or indexed pricing, we strongly suggest you consider ways to curtail usage during this high priced period. Doing so will save you significant money on your upcoming bills. If you are on a fixed price product, curtailing usage during this time may help you create a more attractive profile for future pricing periods and, in some winter peaking parts of PJM, potentially help you to reduce your capacity tag for the upcoming year, which can result in lower pricing next year.
PJM has issued a number of Max Emergency alerts and yesterday activated Emergency Demand Response in the BG&E, PEPCO, and Dominion zones. PJM has also encouraged customers across the region, but particularly in those zones, to conserve energy use as much as possible. PJM has experienced a number of outages already, and supplies are extremely tight.
We strongly encourage all energy users to curtail as much as possible over the next week, particularly during the 6 a.m. – 9 a.m. and 4 p.m. – 10 p.m. periods when prices tend to be highest.
Please feel free to contact us at 877-308-2727 should you have any questions.
Be safe and stay warm.
Principal/Chief Procurement Officer
877-308-2727 x 111