Electric rates 103. The final chapter
So where do companies like NH electric. com and the like fit in here?
When you pay your electric bill only about 40% goes to pay for the actual power supplied to you. The rest are delivery charges, taxes and such things.
About 40% is what you are actually paying for the power delivered to your meter. I think that it is called Co-Op power in my NHEC bill. It may have a different name on your bill. That is the what these companies are trying to sell you on. And possibly save you money.
You see for with the exception of the past few weeks with the stupid cold, the average ISO price for a KW has been about 4.5 cents.But that is not what you pay your power company. The Co-Op has been around 6.5 cents a KWhour, and PSNH around 8.5to 9 cents. That is where they make their money.
The e-NH.com people are betting that the average price stays where it is at and that if they sell you power for, say 5.5 cents per KW they can make a profit instead of the other companies. They make around one cent and you save around one cent or more depending on your company.
It can be a good deal but I do not know the money changes hands.
Misty Blue.
Last edited by Misty Blue; 02-09-2014 at 12:22 PM.
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