Overview of electric deregulation in NJ
April 28, 2012
As reported by Save on Energy.com
New Jersey
Electric:
New Jersey opened its electricity industry to competition in 1999. Each of the four electric utilities (PSE&G, Jersey Central Power & Light, Atlantic City Electric and Rockland Electric) now offer customers the chance to save money by shopping for the supply portion of their electric bill.
The utilities sold off their power plants, and now only own the transmission and distribution wires, while also providing “backstop” power to customers who do not shop for electricity. With the move to competition, New Jersey utilities have separated their service into two parts:
• Regulated distribution of power, which is still only provided by the utility, and • Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electric supply from their utility, or an alternate energy provider.
Customers who do not choose an alternative energy provider are served on each utility’s Basic Generation Service (BGS). The price for Basic Generation Service is determined annually through auctions held by the utilities.
For large customers above 750 kW, called the Commercial and Industrial Energy Pricing or CIEP class, the BGS price is set at hourly prices in the wholesale PJM market. These prices can be extremely volatile, so most large customers choose an alternate (or third-party) energy provider for price stability.
Customers under 750 kW are known as the BGS Fixed Pricing Class, and receive a flat, annual rate from the auction, although it may be seasonally adjusted.
Customers who choose an alternate energy provider still have their power delivered to them by their local utility, and contact their utility for all outage reporting. Customers can choose to receive either a single bill from their utility for their delivery service and energy supply service, or can receive two bills, one from each company.
Our Perspective:
Natural gas prices are near a 10 year low. Because 30% of electricity is generated with natural gas we have seen very competitive in this area also.
Deregulation gives the consumer a choice to buy their energy supply on the open market at wholesale prices as oppose to buying energy from the local provider at default prices that are normally higher. If you are not currently buying energy thru a 3rd party provider, it is something you should take the time to look at. Businesses and now residential clients are finding substantial savings by fixing the cost of their electric and natural gas supply cost.
To learn more email george@hbsadvantage.com
Natural gas prices rise, benchmark oil up slightly
April 28, 2012
By SANDY SHORE, AP Business Writer–8 hours ago
Battered natural gas prices are getting a bit of a break as cooler spring weather raises expectations that demand may improve.
Natural gas rose 6 cents to finish at $2.186 per 1,000 cubic feet in Friday trading. That’s up nearly 15 percent from April 19 when the price hit the lowest level in more than a decade at $1.907 per 1,000 cubic feet.
The price has plunged this year as a natural gas production boom created a glut of supply and demand dropped during a mild winter.
Now, some in the market are suggesting demand will strengthen, which help boost prices.
Cooler weather moving across the Northeast, parts of the Midwest and the Rockies this weekend could prompt homeowners to turn up the heat, creating more need for natural gas.
In addition, utilities have been substituting cheaper natural gas for coal to generate electricity. As much as six billion cubic feet a day of natural gas has replaced coal-fired power generation this year, said Ron Denhardt, an analyst with Strategic Energy & Economic Research. Consumption on an annual basis is about 66 billion to 67 billion cubic feet a day.
In addition, some energy companies have cut production because low prices can make it unprofitable to drill for some types of natural gas.
Yet, several analysts believe any rally will be short-lived.
With May upon us, any pick-up in demand for heating will be brief. About 70 percent of the nation’s demand for natural gas comes during the winter to heat homes and businesses.
Natural gas inventories continue to build. Analysts say that underground storage could be filled to the brim by fall without additional production cuts or an extremely hot summer that boosts electricity demand for cooling.
“It’s fundamentally a disastrous market,” Denhardt said. “I can’t see any turnaround of any significance before November, December of this year.”
PFGBest analyst Phil Flynn said there has to be an even bigger drop in price to force companies to cut more production. He speculated that the price will test an all-time low of $1.35 per 1,000 cubic feet.
In other energy trading, oil prices rose slightly, as traders shrugged off a report that the economy grew more slowly in the first three months of the year as governments spent less and businesses cut back on investment. But consumers spent at the fastest pace in more than a year. The Commerce Department said Friday that the economy grew at an annual rate of 2.2 percent in the January-March quarter, compared with 3 percent in the final quarter of 2011.
Benchmark oil rose 38 cents to end at $104.93 per barrel in New York. Brent crude fell 9 cents to finish at $119.83 per barrel in London. Heating oil lost 1.37 cents to end at $3.1807 per gallon and gasoline futures rose 2.29 cents to finish at $3.2062 per gallon.
At the pump, gasoline prices were little changed at a national average of $3.826 per gallon, according to AAA, Wright Express and the Oil Price Information Service. That’s 8.5 cents less than a month ago and 5.3 cents lower than a year ago.
Copyright © 2012 The Associated Press. All rights reserved.
Your Attention………Please
April 24, 2012
Residential electric customers
In…
New Jersey and Pennsylvania….
You finally have an opportunity
To lock your electric supply cost
At a fixed price…….
For a
12 month period
This means saving of
Around 15%
Off your current
Local provider supply cost
If you look at your PSEG residential electric bill
You will see your…..
Price to compare
For electric
Is around
$.116 cents per kwh
Atlantic City Electric customers
Your bill shows a
Price to compare of around
$.122 cents per kwh
We now have a program that will permit
Residential customers in New Jersey
To lock their electric supply cost for
$.0999 cents per kwh
For a 12 month period
For a typical household
This provides savings
Of over $300 a year
No additional cost
No transfer fees
No interruption of service
The supply charges will be billed on
Your current local provider bill
Best yet…..
Nothing changes…….
Should you have an electrical problem…..
You still will call your local provider
To service the account
This opportunity is also available for….
All Residential Pennsylvania
Electric customers
(Contact us to find out your rate…….
Your savings are comparable)
As most of you know…
HBS has been in the deregulated energy business
Since January 2000
We have been providing
This service…
For only the commercial market
I get several calls
Every week
From my clients
Asking……
Can you help me with my home electric bill……
Many have faxed or emailed me…….
All the special offers they have been receiving
Problem was……
All I found was……
Smoke and Mirrors
They had the sizzle….
No contract…..
Month to month……
Low variable rate……..
They also had……..
Minimal to no $avings
Many have complained to me
They actually paid more
Than the provider price to compare
For the first time
We have found
A Residential opportunity
That will provide….
True savings….
For your…..
Residential Electric Account
Should you like to know more…..
About this saving opportunity
For your home
Email……..
Or call our office 856-857-1230
$300 savings
For me…..
It was the equivalent
Of getting 1 month
Free electric a year
Visit our website: www.hutchinsonbusinesssolutions.com to learn more about opportunities available to provide savings.
Giving Hope
April 13, 2012
For the last 8 years I have shared an affiliation
With Hopeworks in Camden
4 of those years I was on the Board;
And for 2 years I served as the
President of the Board
Hopeworks is the vision of Fr Jeff Putthoff
A Jesuit
Gotta love the Jesuits
Fr Jeff has committed himself to making a difference
In Camden
Thru hard work and patience
His vision is becoming a reality
Camden is recognized as one of
America’s poorest cities
There has been constant wrangling
Whether it is #1 or #2
It is also is ranked #2
As one of America’s
Dangerous cities
Over 40% of the youth never even graduate
From High School
Hopeworks vision:
Empowering the youth to identify
And develop their D.R.E.A.M.S.
(Dynamic, Realizable Efforts to Attain and Maintain Success)
And own their future.
Hopeworks provides the youth an opportunity to
Stay in school
Or to
Get their GED
Learn a skill
Giving them an opportunity to
Go to college
Education is the Key
The environment that The Camden youth
Are exposed to
Is frightening
Just within the last month
Over 3 people were shot and killed
Within a 2 block radius of Hopeworks
At 5th and State St
Drugs are dealt opening
One youth when asked what he hoped to do
When he got older
Stated that before coming to Hopeworks
He never really thought about it
For he never expected to live past 17
When he was 10 years old
His brother died in his arms
A victim of the streets
By 12 years old he was running drugs
And arrested on gun charges
After he shot at the police
Hopeworks is making a difference
While I was on the Board
Fr Jeff introduced the
Fun in the Sun Calendar
Each summer; Hopework uses
The Fun in the Sun Calendar
To help fund summer jobs
For Camden youth
This summer we are hoping to raise
Enough funds to support
25 summer jobs at Hopeworks
This is where you can help
I have agreed to be a Captain
For the Fun in the Sun program
I am looking for you to help me sell
60 tickets
Which will help us to partially fund the
Hopeworks summer work program
There are many options available
1 subscription cost $20
You may also choose to support a youth for 1 week
That only cost $160
Each day in June a name will be pulled
From those you have bought a subscription
You will have a chance to win a
Specific dollar amount assigned to that day
One lucky subscribe stands to win
$2012
That could be you
Click on the link below to get more information about the
Fun in the Sun Subscription
And take a minute to look at the other tabs on the website
These tabs provide more information
About Hopeworks
Their Vision and Mission statements
The programs available
To the Camden youth
Hopeworks is all about
Giving back……
Providing Hope…..
Opening Doors……
Fulfilling Dreams……
Let’s take time to Pay it Forward
http://www.hopeworks.org/fun-in-the-sun/
It is my hope that you will help us
Give 25 youth in Camden
A job at Hopeworks
This summer
Note: Should you choose to buy a subscription
There is a space that ask for the captain name
Please enter my name
Thanks
And God Bless You
We are now on Facebook http://www.facebook.com/#!/pages/Hutchinson-Business-Solutions/160324787348229
Visit our website: www.hutchinsonbusinesssolutions.com
The Huffington Post | By Jeffrey Young
Having to return to the hospital for another round of treatments for the same medical condition isn’t just emotionally draining, potentially dangerous and tough on a patient’s wallet, it also costs hospitals a ton of money, according to a report issued today.
A typical hospital with 200 to 300 beds wastes up to $3.8 million a year, or 9.6 percent of its total budget, on readmissions of patients who shouldn’t have had to come back, says Premier, a health care company that advises hospitals on improving efficiency and safety. The company analyzed the records of 5.8 million incidents in which a patient went back to a hospital to be re-treated and found they added $8.7 billion a year, or 15.7 percent, to the cost of caring for those people.
Cutting back on these readmissions would be good news for patients. Even if the hospital has to eat the costs of additional treatments, patients are still subject to the risks of the procedures they undergo and the normal danger of contracting an infection while in the hospital. Patients being treated for heart attacks, respiratory problems like pneumonia and major joint problems are the most likely to wind up back in the hospital, according to Premier.
Wasteful spending in the U.S. health care system has been estimated to be as high as $850 billion each year, according to a 2009 Thomson Reuters report. Overall health care spending rose by a factor of 10 between 1980 and 2010, when it reached $2.6 trillion.
Hospitals are ground zero for health care cost-containment efforts because they are the biggest recipients of America’s health care spending, having taken in $814 billion in 2010, according to a federal government report. Rising costs and shrinking payments from government programs like Medicare and Medicaid and from private insurance companies have hospitals looking everywhere for ways to streamline their operations.
The health care reform law enacted two years ago expands on efforts begun three years ago to link how much Medicare pays hospitals to how well they reduce medical errors, readmissions, and other inefficiencies. Starting next year, hospitals will see their Medicare payments docked by 1 percent if they don’t cut back on these readmissions. The penalty increases to 3 percent in 2015.
Premier’s message to hospitals feeling squeezed: The money you need to save is already in the system. The company has identified 15 steps hospitals can take to improve the care they provide while also saving money, such as making sure patients are treated right the first time and don’t need to be “readmitted” for more care. By analyzing information culled from its hospital partners, Premier recommends other targets for savings, such as performing fewer blood transfusions and limiting costly tests.
Major physician groups also recently rolled out an initiative to reduce unnecessary medical tests. Combined with efforts such as those promoted by Premier, these ventures underscore how private sector health care entities are accelerating cost-containment programs with a push by the health care reform law.
What Makes Up the Cost of a Gallon of Gas?
April 9, 2012
$4 gas prices got your attention? If the cost of gasoline is already back at that lofty level where you are, or is simply headed in that direction, you’re probably asking where all the gas money you’re shelling out at the pump is going.
There are a couple of ways of answering that.
Industry shows how gas price breaks down
The American Petroleum Institute, or API, has a general breakdown for you. According to the trade group’s February estimates, most of what you pay for gasoline — 71 percent — goes to refineries, to buy oil.
API says it takes one gallon of oil to make a gallon of gasoline. The price of oil is determined in commodities markets, where companies and traders buy and sell the petroleum for purposes that can include refining it into gasoline or holding it as an investment. The markets, and the prices they set, are influenced by supply-and-demand factors, such as trouble in the Middle East that could result in less oil coming from that region of the world.
After oil prices, the rest of the price of a gallon of gas comes from taxes (14 percent) and costs associated with refining, moving and selling the gasoline (15 percent), according to API.
At the time of API’s most recent study, in late February, the national average price of regular-grade gasoline was $3.58 per gallon. By the group’s estimates and percentages, about $2.54 of that price covered crude oil costs, 50 cents went to taxes, and about 54 cents went into refining, moving and retailing.
Get geeky for more exact gas cost analysis
If you want to get geekier about where your gas money is going, you can do a more exact and up-to-date calculation on your own.
Here’s how:
- Find the price of a gallon of gas. Go online to AAA’s Daily Fuel Gauge Report. For example, as of March 22, the auto club showed that a gallon of regular gasoline sold for about $3.88.
- Find the price of a gallon of oil. Head to Bloomberg.com’s Energy & Oil Prices page. As of March 22, it showed a barrel of oil selling for about $105.46. There are 42 gallons in a barrel of oil, so divide $105.46 by 42 to get $2.51 as the price of one gallon of oil. Again, a gallon of oil can be refined into one gallon of gasoline, according to API. So, about $2.51 of the March 22 price for a gallon of gas went toward the cost of the underlying oil. That works out to about 65 percent of what you paid at the pump.
- Find the cost of taxes. The federal tax on gasoline is 18.4 cents per gallon. On top of that, there are state taxes and, depending on where you live, local gasoline and/or sales taxes, too. If taxes are typical where you are, the API estimates you’re paying 49 cents per gallon in federal, state and local gas taxes, making up 12.5 percent of the average $3.88 gas price.
- Determine the cost of refining, transportation and retailing. The rest of the cost of gasoline goes to turning crude oil into fuel, moving it to gas stations and retail markup. Get this number by subtracting the amounts in steps 2 and 3 from the average price in step 1. In this case, that’s $3.88 minus $2.51 and minus 49 cents, which comes out to 88 cents for refining, transportation and retailing — or about 22.5 percent.
And that’s how you do the math. Keep in mind that taxes and other factors making up gas prices can differ by region, state, metro area and city. Check out our map on gasoline taxes by state to see how much of your gas money is going to federal and state taxes.
If you want more detail about your own local taxes, contact your city, county, and/or state department of revenue, department of finances, or the equivalent.
The Hunt
April 5, 2012
This Sunday is Easter Sunday
A big day for the Hutchinson family
Every year….
After we go to Mass….
We all head over to my Mom’s house
For Easter Brunch
Everybody chips in….
We have it down pat by now…
.
We all bring a dish
My sister Maureen coordinates
Janet always brings her sausage and egg casserole
A family favorite
There so much food there
You would think there were a 100….
People there
In a few years we may not be off the mark..
If all the grandchildren start having kids
We should hit the 100 mark pretty fast
After the meal is done….
The fun begins
We do an Easter egg hunt with a twist
There is a battle for the……
Hutch Trophy
This is a competition between the adults and children
We buy 2 puzzles and we take the pieces…..
And place each piece in a plastic egg
Then the children take their puzzle eggs and hide it
In the front yard
While the adults take their puzzle eggs
And hide them in the back yard
It can be vice a versa…..
When all the eggs are hidden, we meet inside
And then….
We are off and running
Who can find all the plastic eggs and….
Assemble their puzzle first
Think there is a little bit of competition going on?
Last summer I told you about the Hutch Olympics….
This is training
Each team is fighting to get bragging rights
The trophy sits in my mom’s kitchen all year….
As a gentle reminder…
Family get togethers’ are great
There is a special bond that is reinforced
Time and time again
We all find ourselves laughing….
When we all……..
Are acting like children
We remember the simple……
Pleasures that life brings
Enjoy and……
Treasure the time……
You share with your family
It is one of life’s little miracles
Happy Easter and Happy Passover to all
My family and friends
Gas prices fuel congressional campaign rhetoric
April 4, 2012
President Barack Obama isn’t the only candidate who has to worry about gasoline price spikes.
Take a look at members of Congress and their challengers, who are going all out to express concern about the plight of American motorists — often with personal stories of their own sticker shock.
Illinois GOP Rep. Bobby Schilling took a page from that playbook this month when he invited reporters to watch him fork over a C-note to fill up his Chevy Suburban at a Phillips 66 U-Save Mart in Moline. So did Rep. Judy Biggert (R-Ill.), who opened a recent weekly e-newsletter by bemoaning her last $58 pit stop.
Others are content just to empathize.
Hence, Republican Jason Plummer — running to replace retiring Rep. Jerry Costello (D-Ill.) — visited ConocoPhillips’s Wood River refinery outside St. Louis to slam EPA policies that he blamed for driving up fuel prices. New York GOP Rep. Ann Marie Buerkle’s YouTube moment came when she gave explicit instructions on what she wanted Energy Secretary Steven Chu to tell his administration colleagues: “The American people are hurting. They need you to do something now.”
Expect to hear a lot of the same until November.
“This train stretches from New York City to Los Angeles with how many people have jumped on it,” said Patrick DeHaan, a senior petroleum analyst at Gasbuddy.com., a fuel price tracking website. “Either you are for low gas prices or you are going to get voted out of office. Everyone running is forced to talk about it because the other party is.”
There’s good reason for all the gas pump bickering. A Gallup poll in March found that 65 percent of Americans think Congress and the president can take actions to control gas prices, and that 85 percent want “immediate actions to try to control the rising price of gas.”
Blame is also easy to spread around. Senate Democrats tried to put Republicans on the spot in March with a floor vote to repeal oil subsidies, while House Republicans see rewards from a legislative agenda heavy on domestic drilling and embarrassing the Obama administration on the Keystone XL pipeline.
“I’m certain that with $4 gas, the American people will remember who listened to them and who didn’t,” House Speaker John Boehner said in May before passing one in a series of energy bills.
During last year’s price spikes, freshmen fanned out to meet with voters and hear their complaints about fuel costs. Wisconsin GOP Rep. Reid Ribble’s visit to an Appleton gas station made local TV newscasts, as did Republican Rep. Robert Hurt’s stop with Virginia farmers, where he talked up offshore development and alternative energy.
The House websites for Ribble, Scott Rigell (R-Va.) and Indiana GOP Rep. Larry Bucshon all feature gas price surveys asking people to vote on policy solutions.
Indicative of this year’s political stakes, Senate Republican candidates hoping to help their party reclaim the majority are being much more aggressive than their House counterparts with their attacks on Democrats.
Virginia Republicans, for example, have posted a video picking at the opening line of a response from Democrat Tim Kaine at a town hall event when asked about gas price spikes. “I’ve got to admit there’s some aspects about the gas price thing that makes me scratch my head,” Kaine says in the clip — a comment his campaign says was taken out of context.
Kaine’s likely opponent, former Republican Sen. George Allen, is also up with a website that allows visitors to type in the make and model of their car to see how much more it costs to fill up their tank compared with when Obama came into office.
California Sen. Dianne Feinstein’s long-shot Republican opponent Elizabeth Emken features a “#FeinsteinOnEmpty” hashtag on her website. She also questions Feinstein’s past praise for Chu, who said in 2008 — before joining the Obama administration — that he supported Europe-style gas prices in the United States.
Democrats are in on the action too.
Indiana Democrats are squeezing Sen. Richard Lugar with a Web ad slamming the Republican over his support for a gas tax hike of $1 or more.
Sen. Bill Nelson (D-Fla.) sent an email to voters in February talking up legislation he has co-sponsored that would curb oil market speculators.
He also solicited voters’ ideas on “what else you think we could do to bring down gas prices.”
Sen. Claire McCaskill’s website tries to bust what she lists as six myths about gas prices (No. 5: “Nothing can be done to bring down the price of fuel”). The Missouri Democrat also promotes her call for Obama to tap the Strategic Petroleum Reserve for the second time during his term.
Democratic candidates for House seats are also going after Republican incumbents’ campaign contributions from the oil and gas industry, pairing them with votes against repealing the industry’s subsidies.
Nearly identical press releases came out in late February from New Hampshire Democratic candidate Annie Kuster, who is challenging Republican Rep. Charlie Bass; Nevada state Assembly Speaker John Oceguera in his race against Rep. Joe Heck; former New York Rep. Dan Maffei in his rematch against Buerkle; and Manan Trivedi in his second attempt to unseat Rep. Jim Gerlach (R-Pa.).
“High gas prices? You can thank Washington insiders influencing Washington insiders,” Trivedi posted on Twitter, where he linked to a statement criticizing Gerlach for supporting oil and gas subsidies while taking more than $132,000 in campaign contributions from the industry.
Outside groups are also weighing in on the gas price debate.
Public Campaign, a group with ties to MoveOn.org and labor unions, sponsored two weeks of cable TV ads against Republican Rep. Scott Tipton in his Western Colorado district, knocking him for taking more than $100,000 in campaign contributions from the oil and gas industry and questioning his vote against repealing the industry’s subsidies.
The American Petroleum Institute has already spent generously this cycle, mostly to help Republicans, including House Energy and Commerce Chairman Fred Upton (R-Mich.), Natural Resources Chairman Doc Hastings (R-Wash.), Science Chairman Ralph Hall (R-Texas), Majority Whip Kevin McCarthy (R-Calif.) and Boehner. The trade group also ran radio and print ads ahead of the Senate subsidy debate in the Senate and presidential battleground states of Maine, Massachusetts, Missouri, Nevada, North Carolina, Virginia and West Virginia.
Karl Rove’s American Crossroads is also going after vulnerable House and Senate Democrats, including $1.5 million spent so far challenging McCaskill. The attacks include a website called “The Truth About Claire” that questions her commitment to lowering gas prices.
The group’s spokesman Nate Hodson said the group “won’t be shy” when spending tens of millions more this cycle to raise the gas price issue in congressional races. “It’s what voters are paying attention to right now,” he said.
This article first appeared on POLITICO Pro at 5:41 p.m. on March 30, 2012.
Read more: http://www.politico.com/news/stories/0312/74690_Page2.html#ixzz1r6jsxV7S