The best ways to choose energy providers: Making informed decisions

Business News | 19 Jun |

Reducing your energy bills doesn’t require adding solar panels or living in darkness every day. Choosing a new energy provider can reduce your electric bill without affecting your energy usage!

Using the competitive pricing of the electricity provider market is an excellent way to pay less for the same amount of power that you use throughout the year. However, with so many options in the marketplace, it can be challenging to find the best provider at the right price for your needs.

When you choose energy providers, here’s how to make an informed decision.

Know Your Current Costs

Review your current electricity bills and compare them to the same months in prior years. Pay attention to your usage versus your costs.

• Have your costs stayed consistent with your energy usage?

• Has the kilowatt per hour (kWh) rate increased?

If you’re using the same amount of energy but you’re paying more for it, check the kilowatt per hour charge. That’s the base rate you’ll use to compare pricing from other companies.

Read the Fine Print

When using a website that offers pricing comparisons like Vault Electricity, be sure you compare apples-to-apples. Read the fine print about kilowatt-hour charges and minimum usage amounts.

For most providers, the more energy you use, the lower your kWh price. Most comparisons show the average for the same kilowatt usage to make it a fair comparison. However, if your average usage is less than the estimated cost per kilowatt-hour at a minimum usage amount, your rate will be higher than the advertised “average” price.

That’s why it’s essential to know your average monthly usage when comparing costs from electricity providers!

Look for Base Charges

Almost every provider charges a base fee every month, and that fee can range from high to low, depending on the provider. You’ll pay that fee every month in addition to the amount charged per kilowatt-hour. Compare the base fees across providers when choosing your new electric company.

Compare Contract Terms

Most providers charge a fee to terminate a contract early. This can be a substantial amount of money, so it’s critical to compare the condition of each contract from different companies.

Some providers also offer better rates if you commit to a 24-month or 36-month contract. You can lock in a low rate for the length of the contract, but you’re also committed to that provider for the duration of the contract—unless you want to pay the cancellation fee.

Research Reputation

Choose a company that has an excellent history of reliability and customer service. If you choose a long contract term, you need a dependable provider who takes care of their customers.

Save Money When You Choose Energy Providers!

Unless they use alternative energy sources, every house on your power grid receives the same energy. Don’t pay more to power your home than your neighbors! Choose energy providers that offer the best rates and offers savings.

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