Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: woodbutcher1963
Texas did the same several years ago.

Low Natural Gas prices gave some options including a plan that tied the electrical generation charge to the spot price of Natural Gas in the area.

During some peak consumption times, spot prices of Gas and Energy spiked. Fly by night companies that did not own generation but was buying power on a futures exchange and then couldn't cover the spike of price and high demand folded leaving customers without a contract and paying spot prices or exceeding high prices due to the timing of entering the market for a new contract.

caveat emptor

Know who you are doing business with and read the whole contract. Even then, some companies depend on bankruptcy protection as their risk management plan.

3 posted on 01/17/2013 8:25:03 AM PST by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 2 | View Replies ]


To: thackney

If Resident Power folds I can just go back to buying my power from Public Service of New Hampshire. It is not much of a difference.


6 posted on 01/17/2013 11:37:50 AM PST by woodbutcher1963
[ Post Reply | Private Reply | To 3 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson