About Deregulation

July 19, 2010

As reported by PSEG

Before Deregulation 

Prior to New Jersey’s restructuring, PSE&G was responsible for generating electricity, transmitting the power to all regions of their service territory, distributing the power to the individual homes and businesses, and billing and service issues.  In addition, they were also responsible for all repairs to the electric lines and equipment.

After Deregulation

As a result of the New Jersey Energy Choice Program, the different responsibilities of the utilities were “unbundled” and the power industry was separated into four divisions: generation, transmission, and distribution, and energy services. The generation sector has been deregulated and, as a result, utilities are no longer the sole producers of electricity. The transmission and distribution sectors remain subject to regulation – either by the federal government or the New Jersey Board of Public Utilities.   No matter which electricity supplier you choose, PSE&G will continue to service the transmission and distribution sectors of your electricity.

Competition is allowed between companies to provide power at discounted rates and superb customer service directly to customers. These companies are licensed by the state of New Jersey.  You also have the opportunity to work with an electricity broker or consultant who can compare different offers and provide additional services to help manage your energy spending.

In most cases, PSE&G will continue to send you your utility bill.  So the only thing that changes if you shop for a better rate is that better rate.

Our Perspective:

Deregulation has presented a great opportunity for busnesses who are spending more than $3000 a month on their electric bills. Open market electric prices are the lowest they have been in over 4 years. HBS clients are saving from10% to 25% on their electric supply cost depending on their uasge patterns. Those businesses that are designed to use more off hours usage, will find the largest opportunity for savings.

To learn more about your opportunity to save in the deregulated energy market  email george@hbsadvantage.com

Just the Facts!!!

July 16, 2010

With the current electric market prices being very desirable, deregulation has hit full stride in New Jersey.

If you are a business spending over $3000 a month on electric, you will find real savings by shopping your account with one of the 8 to 10 deregulated providers selling electric in NJ. Hutchinson Business Solutions is an independent energy management consultant who represents all of the major deregulated providers selling electric in NJ. We have been bring deregulated savings to our clients for over 10 years.

 If you are not currently participating in the deregulated savings opportunity, the timing could not be better.

 Just a word of precaution!

Due to the current market growth there are many new faces showing up hawking the merits. Be sure to know all the facts before making any decision.

First, the price to compare from your local provider includes sales tax. Should you be taking to a consultant or broker, ask if the price is fully loaded. ie: does it include the 7% loss allowance (to deliver 100,000 kwh of electric, the providers must actually send 107,000 kwh, for there is a 7% loss in transmission), also does it include 7% sales tax.

Both these components are included in the local provider price to compare.

We see many companies that fail to include these items in their presentation and therefore you are not comparing apples to apples. There are times we found that when you actually add these 2 factors, the price is higher than what you are currently paying.

Know the facts.

Ask the right questions.

There are opportunities to save from 10% to 25% in the deregulated electric market depending on your usage patterns

Remember… The local provider buys electric on the wholesale market and then bills their customers retails pricing. HBS puts their clients in the wholesale position.

To learn more email george@hbsadvantage.com or call 856-857-1230.

Visit s on the web www.hutchinsonbusinesssolutions.com

June 3, 2010    as reported by electricitywatch.com

On June 1, new summer default rates went into effect for all New Jersey customer s being serviced by JCPL (Jersey Central Power & Light) who are still on the utility’s price to compare default rate.

While residential competitive electric providers remain limited in the state, there are roughly two dozen competitive electric suppliers offering lower rates for commercial and industrial customers compared to the JCP&L default price to compare rate.  Business customers in the GS rate class will pay a rate of $0.115462 from June through September of 2010, and then pay $0.110205 from October 2010 through May 2011.  Current fixed competitive electric rates in the area are in the low $0.10s per KWh resulting in savings for most businesses between 8-14%.

Default rates in JCPL are derived from auctions the utility performs in previous years for the current year.  Due to lower natural gas prices, current market rates for electricity are lower than the current default rates resulting in saving opportunities for businesses.

For more inf0rmation on Jersey Central Power and Light competitive rates, send an email to george@hbsadvantage.com .