Energy Aficionado

Providing useful information about energy and utilities.

[energyaficionado]

Pennsylvania Electric Rates Shoot Through The Roof

For months, state administrators and consumer assemblies have gotten notification from many irate occupants in relation to soaring Pennsylvania electric rates attached to spiking variable rates throughout winter.  Unwitting shoppers were sold power plans by means of door-to-door salesman, telemarketing calls and different techniques that did not plainly illustrate that fixed-rate bills might turn into variable rates at the end of a 30-day cycle.  Thursday's three-hour hearing at the Capitol was held after chairman of House Consumer Affairs Commitee Godshall and Rep. Subside Daley presented a bipartisan bill to attempt to stop consumers from spiking electric rates in harsh climates.  All concurred that the PUC and state lawyer general's office need to explore, fine and in a few cases bar organizations from working in Pennsylvania in the event that they utilized tricky practices to deceive a portion of the 28,287 shoppers who have made official complaints.  Under a 1996 state deregulation law, customers have the choice of staying with their default electric supplier — for example, PPL, Met-Ed or PECO — that historically distributed power in their geographic locale. Then again, they can purchase power on the open market.  The individuals who stay with the default organization pay a fixed-rate bill. The approximately 2.2 million clients who purchase on the open market either have an fixed-rate bill, straight variable-rate bill dependent upon wholesale market costs, or a fixed- rate charge that changes to a variable rate sooner or later throughout the agreement.  Assuming that wholesale market costs are low, variable-rate buyers pay less. The variable rate bills spike without cautioning if wholesale prices rapidly climb as they did when force request rose in January and February.  Interest for power arrived at record highs in January with about 78 billion kilowatt hours, said Mike Kormos, official executive of PJM, federally regulated regional transmission organization, which oversees power for Pennsylvania, 12 different states and Washington, D.c.  In January, some electric plants were disconnected from the net because of "routine breakdowns, issues identified with working in great icy temperatures and, to a lesser degree, fuel supply issues." While plants were off-line, the cost of natural gas sailed, he said, prompting higher manufacturing expenses for organizations that power their power plants with gas. Those organizations then passed the rates down to purchasers, he said.  The point when purchasers got their bills, they endured sticker shock to their default supplier. The effect was an exceptional surge in client dissatisfaction in the 18-year history of deregulation.  Purchasers in different states, for example, Maryland, had comparable objections. Maryland has fined three organizations, he said; no organizations have been fined in Pennsylvania. Taking into account the grievances, Hudson, of Retail Energy Supply Association, told administrators that some supply organizations are waiving certain charges on contracts and permitting consumers to enter.  Meanwhile, legislators are supporting an alternate wave of consumer regulations. They cautioned that variable-rate electricity clients could see higher bills again if harsh summer temperatures adversely affect the power supply.

[energyaficionado]

Reliance on Natural Gas Leads to Lift in Electricity Prices in the Northeast

Supply and demand has dictated prices for centuries. In the northeast, the demand for lower fuel costs led to the increased transfer from oil to natural gas. While the initial change took place because the price of natural gas was one fourth the price of oil, that has changed. The extreme changes in weather, from very warm summer days to the frigid conditions that this winter has presented, have caused an increase in the price of natural gas. The demand for natural gas providers has exceeded the capabilities of the pipeline capacity. Natural gas has become the needed fossil fuel for the comfort and budgetary needs of residents of the northeast. As a result, electricity providers in New York and other Northeastern states are passing the extraneous costs onto their customers, who are seeing outrageous increases in their electric bills. At the turn of this century a small percentage of homeowners were using natural gas. Most were using oil as a heat source. By 2012, 2,500 customers converted to natural gas. This was the period that the demand exceeded the potential supply. No longer were people using coal and oil, many were switching to natural gas. While both coal and natural gas are fossil fuels, the gas leaves a much smaller carbon footprint than coal. The development of fracking techniques, has allowed suppliers to produce the natural gas to fuel electricity providers as well as customers. The demand put a strain on the gas providers. Because of the extended cold spells the past two winters, the demand for electricity has put a strain on the natural gas providers. This has caused an increase in the cost of natural gas. Supply and demand has ruled once again. The solution has two parts. First, it will be necessary to create increased pipelines for the needed natural gas with public funding. Energy officials want more people to switch to natural gas. For this reason the need for extra pipeline is needed. That is the second part. The cleaner fuel may be less expensive now, but customers wonder what will happen when natural gas becomes the preferred fuel. Another option is offshore wind farms and solar energy. These are two sources than will not be depleted. The data from Nantucket Sound has pointed out that CapeWind could have provided the power to heat 1,600 homes for a year without the threat of running out of power. This is the alternative to natural gas providers supplying all of the energy. The natural options decrease the carbon footprint to a greater degree with increased assurance that the necessary heat will be available for customers in the area.

[energyaficionado]

Plans to Build Largest New York Solar Power Facility in Staten Island

New York City recently announced their plans to produce their largest solar power facility yet at Freshkills Park, which is on Staten Island. The proposed generating capacity of the new facility is rumored to be able to push out 10 MW, according to New York Mayor Michael Bloomberg. The new solar installation will replace the world's largest landfill and be able to generate electricity for several thousand homes as well as increase the New York’s renewable energy abilities by nearly 50%. Bloomberg was quoted as saying, "It’s fitting that this site, long associated with the most stubborn challenges of urban development, will now be a shining example of cutting-edge solutions,” Bloomberg said. The city also reported that the facility will be generating close to 10 megawatts of electricity which will be fed into the ConEd system and double solar energy production throughout New York.   Perhaps the greatest accomplishment in all of this is the reformation of the Freshkills landfill. Formerly one of the biggest and most used landfills in the city, up until its shutdown in 2001, it will now be home to one of the rising renewable energy sources on the market. James Molinaro is particularly proud of this accomplishment and calls it "Just a start". He went on to say that he was certain that windmills will also be added to the park.

  Sun Edison will be purchasing into a 47 acre area of this new site and won it at a public auction. This land will be invested in to help produce even more green energy for New York electric providers. Mayor Bloomberg is playing up to his constituent’s expectations with his commitment to green energy and alternate energy outreach. This sort of park could be the first in line of many that help transform one of the most popular cities in the world into a progressive and ecological location. After all, if a city like New York--with its sprawling urban environment and smoggy skylines--can become a bastion of green energy than any city can. This is a huge first step towards finding a common place reliance on green energy.

[energyaficionado]

The European Commission takes on System Energy Integration

Energy integration is becoming an increasingly popular way to reduce costs and help improve the environment. So, the European Commission is all set to introduce the Strategic Energy Technology Plan, or SET, in 2014. SET will accelerate the promulgation of a new energy system with low carbon impacts.

Relying more on electrical grids and integration of all energy systems, system integration, according to the director of DG Research, Andras Siegler, will create smart controls for energy distribution. This means using solar, electrical, wind, bio-energy ad nuclear fusion together, rather than by themselves, to create energy self-sufficiency The new SET Plan results from modifications to older energy initiatives. A 2012 review of old plans found that using just one energy alternative, and not an integrated system, undercut energy strategies. Siegler said that the new plan put Europe on the right track when it came to energy development although lots needs to be accomplished. Energy storage strategies are in the forefront of the new efforts. They will be priorities under the new SET Plan. That's because renewable energy like wind and solar flow sporadically into the electrical grid. Peak flows can be lost while low wind, or low solar output, can put a crimp in electrical output. Coordinating scientific and engineering platforms is needed to respond to the challenges of integrating different energy sources into an efficient energy system. The new way of integrating energy calls for better coordination of resources and supply chains, Siegler said. The roadmap for energy integration calls for the new SET Plan to be finished by the start of 2014. That means the new strategies probably can't be implemented before 2015 due to the complicated nature of integrating so many energy sources. The goal remains moving away from developing specific technologies to developing integrated sources through competitive development. That means establishment of multiple projects at the same time for optimal results. Despite changes in the conceptualization of energy development, Siegler insists the overall SET Plan impact has been good. Public and private investment in SET Plan projects has risen 70 percent in the last five years. The new plan merely fine-tunes the strategy allowing for greater adaptability to meet market challenges. People are more interested in the combination approach to energy development rather than focusing on just one set of energy tools, Siegler said. The new SET Plan also calls for an investment plan with specific funding requirements for European member states. Steering groups will set new funding priorities and coordinate energy research. This will allow for better leverage of competing technologies aiding development of a cohesive energy optimization strategy in the future, analysts say.

[energyaficionado]

Can Switching Your Electricity Provider Save You Money on Your Electricity Bill?

With the increased cost of living and the state of the budget today, many people are looking for ways to save money. One way that may be overlooked is saving money with your electricity bill. The obvious or first thought that may come to mind is conserving energy by turning off lights when not in use or setting the thermostat to a certain temperature consistently. Still another way, that may not be as popular, is by switching your electricity provider. As a result of deregulated energy, many consumers in several states have options to choose their electricity provider. A key element needed before purchasing any long term item is to shop around. Just as a consumer would research or check out options for cable television, internet providers, home or cell phone service, they should also compare electricity providers. Prior to switching electricity providers, consumers should do their homework and compile a checklist to ensure this move is worth it. One of the first things the customer should check is the rates. This would involve determining if the potential electric company’s rate is adjustable or guaranteed for a designated time period. Another factor to consider is any termination fees that may be involved if you decide to pull the plug on your new provider. Another aspect to consider is the actual rates being advertised. The rates being offered may or may not be low enough to make any significant difference in the consumer’s current rates. It would all come down to how much is enough to consider switching electricity providers.

In relation to the rates, a consumer would definitely want to keep their current usage in mind throughout the year during peak and non-peak months. One last factor a consumer should consider when comparing electricity providers is any additional fees. Some companies may have consistent monthly fees and other companies may have variable fees incurred by the consumer for a variety of different reasons. This may require more thorough research and asking specific details or the right questions to get this information. 

The process of comparing electricity providers may be tedious, but if the switch can offer significant savings it will definitely be worth it. While there are other ways to save money, doing the research on competitive pricing and switching electricity companies should definitely be considered, as it is a fairly quick and easy way to reduce your monthly bill.