Key Market Drivers
- Natural gas prices have risen to near January 2015 levels closing up this month at $2.952/MMBTU. Winter will likely begin with storage levels slightly below last year’s storage peak.
- Electric wholesale prices are still near historical lows for the next few years. (see chart above)
- Some energy traders see significantly more upside price risk than downside opportunities.
- One hour tests for Demand Response programs occurred in September.
We are halfway through the shoulder months of September/October and natural gas wholesale prices haven’t shown signs of dropping. In September prices actually rose for a period of time above levels we have not seen since May 2015. The consistent holding of prices in a tight trading range points to the likelihood that energy traders are waiting for any piece of news to give them reason to run the wholesale market up.
We at RD Energy work closely with our customers with energy usage big and small; manufacturing, schools, grocery stores, cities and villages, restaurants, etc. However, we are now able to help very small commercial businesses and residential homeowners shop for better pricing right from our web page www.rd-energy.com. On our homepage is the new “Find the best rates” that will take you to an online shopping platform to shop and enroll online. Have your bill in front of you, know the current contract end date, know your current supplier penalty if you leave your current contract early (there may or may not be one) and then compare your current supplier price shown on your utility bill to the one found online and enroll if you want. Avoid telemarketer annoyance, high telemarketer prices and see how current offers compares to your old price. This is also a great perk program employers can pass along to their employees.
We have now entered the time of year that large energy users; manufactures, high schools with AC, cities and villages with water and waste water plants should explore the value of Demand Response. We have clients enjoying annual income and actually receiving checks each year by being in the PJM Demand Response program. Please call or email us to find out if Demand Response is right for your business. Watch a short video on Demand Response, here.
RD Energy is Certified by the PUCO as a natural gas and power broker. We believe in creating a strategic energy purchasing strategy. Timely buying, Demand Response and Peak Load Management are key tools available to buyers. Given the opportunity RD Energy most often proves that more can be done to cut energy costs both for the short and long-term.
RD Energy does not make and expressly disclaims, any express or implied guaranty, representation or warranty regarding any opinions or statements set forth herein. RD Energy shall not be responsible for any reliance upon any information, opinions, or statements contained herein or for any omission or error of fact.