Often times a business in Pennsylvania searching for a fixed electricity rate will be caught off guard by the vast amount of information thrown at them by the supplier. Commercial electricity contracts can be confusing and contain language that is unfamiliar to the common businessman. Unlike residential rates where laws are set up to protect the customer from deceiving practices, managers searching for business electricity rates in Pennsylvania must examine contracts thoroughly or risk being hit by hidden charges.
It is not uncommon for a business receiving electricity rates directly from several suppliers to receive those rates in different formats making the offers not apples to apples comparisons of each other. It is legal for electricity suppliers offering commercial electric rates to not include certain components of the supply charge that make the rate look lower than their competitor. These charges will then be bypassed to your electric bill as separate charges.
A licensed electricity broker with the state of Pennsylvania can help your business avoid such a scenario. With the experience and knowledge that comes with being a licensed broker, they will be able to sort through the rates making sure the suppliers include all components of the supply charge. A true fixed competitive electricity rate will be apples to apples to your local utilities default rate whether it is PPL, PECO, or Met-Ed.
Most electricity brokers engage in what is called a reverse auction, a bidding process facilitated by the broker that enables each participating electricity supplier the opportunity to compete for your business. Once the lowest rate is derived and a contract is signed the broker will continue to monitor the energy market on your behalf. Contract concessions that are included in the broker’s agreement with suppliers allow them to lower the rate immediately if future forward pricing drops. Lowering your fixed rate during favorable market conditions will maximize your savings for the initial term of the contract. With Pennsylvania electricity rates being highly volatile, knowing a licensed electricity broker is watching over your rates will give your business a peace of mind so resources can be directed towards other areas that matter most.