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Click on your state below to read about gas and electric deregulation in your area.
Arizona
Electric:
Arizona opened its electricity market to competition in the late 1990s, but the market was suspended in 2004 due to a decision by a state appellate court. Since then there have been no alternative suppliers licensed by the Arizona Corporation Commission, and consequently, no shopping around. The Corporation Commission is currently studying whether it should re-open the market to competition. Rate caps that were part of the transition to competition at the two biggest utilities, Arizona Public Service and Tucson Electric Power, have been lifted, and rates were to increase in 2009.
Natural Gas:
Large users of natural gas in Arizona, often known as transportation-level customers, are able to choose an alternative provider for their natural gas supplies instead of their local utility. Under transportation service, the customer's marketer is able to use the utility's pipelines to transport the gas to the consumer. Get quotes here.
Arkansas
Natural Gas:
Large users of natural gas in Arkansas, often known as transportation-level customers, are able to choose an alternative provider for their natural gas supplies instead of their local utility. For example, at Arkansas Western Gas Company, any customer with annual gas consumption over 50,000 Ccf has the option of buying natural gas from a marketer and transporting it to their facilities on Arkansas Western Gas' pipeline system. At CenterPoint Energy, customers who burn a minimum of 25 Mcf per day, or 9,125 Mcf annually, may qualify for choice.
Contrary to popular belief, electric competition in California was not completely suspended. In fact, some customers still have the ability to shop for an alternate electric provider to find a lower rate, although choice is suspended for most customers.
Customers who were shopping for electricity on September 20, 2001 -- the day choice or 'direct access' was suspended -- can still choose an alternative energy provider, called an Electric Service Provider in California. Customers can even choose an alternative energy provider if they subsequently went back to 'bundled' utility service with Pacific Gas & Electric, Southern California Edison, or San Diego Gas & Electric after Sept. 20, 2001. However, if customers who have the right to shop for power are currently receiving electric supply from the utility, they must give the utility six months advance notice before they can leave again for an alternative power provider.
Under direct access, a customer's delivery and supply charges are split. The utility continues to deliver the customer's power, but the customer can choose an alternate brand for electricity supply, in order to obtain a lower rate or a customized product, such as green energy. The utility continues to handle all line maintenance and power cut maintenance.
Natural Gas:
California offers all customers a chance to shop for lower natural gas prices. Customers can choose a different company to supply them with their gas supply. Customers choosing an alternative gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competitive suppliers.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. However, how this sales service is structured depends on the size of the customer. California has split customers into 'core' customers, or those customers to whom gas is essential, and 'non-core' customers.
Core customers include all residential customers, regardless of load size, commercial customers with annual loads below 250,000 therms, and those commercial customers with annual loads above 250,000 therms who elect to receive the higher reliability associated with core service.
Non-core customers include all cogeneration customers, regardless of load size, and those commercial customers with annual loads above 250,000 therms.
Under default sales service, customers pay a supply charge called 'gas energy charge' which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Colorado
Natural Gas:
Large users of natural gas in Colorado, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Under transportation service, the customer's marketer is able to use the utility's pipelines to transport the gas to the customer. Get quotes here.
Connecticut
Electric Company
The Connecticut Department of Public Utility Control has reformed the state's electric market to give customers a chance to save money on their electric bills through choosing an alternate electric supplier. Customers at Connecticut Light and Power and United Illuminating can shop for a cheaper electric supply rate.
The state had utilities sell their power plants to open up the industry to competition. Utilities now only own the transmission and distribution wires, while also providing 'backstop' power to customers who do not shop for electricity. With the move to competition, Connecticut utilities have separated their service into two parts:
Regulated distribution of power, which is still only provided by the utility, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electricity supply from their utility, or an alternate electric provider.
In Connecticut, customers who do not choose an alternate electric provider receive default supply from the utility, with the type of service depending on the customer's size.
Residential customers and business customers using less than 500 kilowatts (kW) receive 'Standard Service,' which is a supply rate from the utility that is fixed for six months. Utilities buy supply for these standard service customers throughout the year and ladder the procurements into a blended price, which is meant to decrease volatility. That means the utility price can be higher than today's market prices, if the market price has gone down but the utilities had bought power months ago when the price was higher. Choosing an alternative electric supplier allows customers to receive the benefit of falling prices faster.
Business customers over 500 kW receive 'Last Resort Service,' which changes every month. The Last Resort Service price is a market rate based on quarterly auctions in the wholesale market. As such, the Last Resort rate can be quite volatile. Customers can avoid this volatility by contracting for a fixed rate from an alternative electric supplier.
Customers who choose an alternate energy provider still have their power delivered to them by their local utility, and contact their utility for all outage reporting. Depending on their service area, customers can choose to receive either a single bill from their utility for their delivery service and energy supply service, or can receive two bills, one from each company.
Natural Gas:
Business customers in Connecticut have the opportunity to choose their natural gas provider, and save money on their gas rate. However, this is easier at some utilities than others, and some utilities can prevent you from shopping by claiming swings in their load served make planning their system operations difficult. Southern Connecticut Gas and Connecticut Natural Gas recently placed a moratorium on shopping for this reason, although the utilities could decide to lift it at any time. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a 'commodity charge' which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Delaware
Electric: Company
The Delaware Public Service Commission has reformed the state's electric market to give customers a chance to save money on their electric bills through choosing an alternate electric supplier. Customers at Delmarva and the Delaware Electric Cooperative can shop for a cheaper electric supply rate.
Delmarva sold its power plants to open the market to competition, and now only owns the transmission and distribution wires, while also providing 'backstop' power to customers who do not shop for electricity. With the move to competition, Delmarva has separated service into two parts:
Regulated distribution of power, which is still only provided by the utility, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electricity supply from their utility, or an alternate energy provider.
Customers who do not choose an alternate electric provider receive default supply from the utility, or Standard Offer Service (SOS). SOS prices change once annually. Most supply for SOS is bought through a competitive auction once a year, but Delmarva is starting to blend other power into the SOS supply, such as on-shore and off-shore wind power. Because the SOS price only changes once a year, customers paying the SOS price do not enjoy the benefits of falling market prices. Choosing an alternative electric supplier allows customers to receive the benefit of falling prices faster.
Customers who choose an alternate energy provider still have their power delivered to them by Delmarva, and contact Delmarva for all outage reporting. Customers can choose to receive either a single bill from Delmarva for their delivery service and energy supply service, or can receive two bills, one from each company. Get quotes here.
Florida
Natural Gas:
Florida has reformed its natural gas industry to give most customers a chance to shop for lower natural gas rates. All customers at Central Florida Gas (Chesapeake Utilities), Indiantown Gas Company, and Sebring Gas System may choose a different company to supply them with their gas supply. All business customers at the other utilities may also choose an alternative supplier. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a supply charge which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Georgia
Natural Gas:
Legislation in 1997 paved the way for natural gas choice in Georgia. Since that legislation, Atlanta Gas Light (AGL) has opted to open its service area to competition. AGL started by separating its gas bill into two parts: regulated distribution of gas, and supply of the gas commodity. Unlike most other areas open to choice, AGL decided to completely exit the business of supplying customers with the gas commodity, and now only delivers gas to customers. Georgia's other local distribution company, Atmos Energy, has not opened its market to competition.
Customers can no longer buy gas supply from AGL, but the Public Service Commission did designate a 'regulated provider' (currently SCANA Energy) for last resort service. The regulated provider provides natural gas service to low-income households and consumers who have been unable to obtain or maintain natural gas service from another natural gas marketer. AGL continues to deliver gas to customers through their pipes.
With AGL out of the supply business, customers may choose their gas supplier on any criteria they want -- price, length of contract, customer service, etc. Since AGL does not provide supply service, there is no longer a benchmark price in the market, and marketers are competing freely to win customers' business.
No matter who you choose to buy energy from, AGL will continue to deliver your gas and respond to service interruptions and outages. You will still pay AGL for these services, but will be billed by your gas marketer on a single bill listing your supply charges from your marketer, and your AGL delivery charges. Get quotes here.
Hawaii
Natural Gas:
There is currently no choice for customers with their local utility company. There is no LDC unbundling currently.
Customers directly interconnected to a FERC-jurisdictional interstate pipeline in any of the states have the ability to transport their own suppliers under the pipeline's open access tariff. Get quotes here.
Idaho
Natural Gas:
Certain large users of natural gas in Idaho, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Get quotes here.
Illinois
Electric:
Natural Gas:
Illinois started a decade-long transition to electric choice in 1997. The two main utilities, Commonwealth Edison and Ameren (AmerenIP, AmerenCIPS and AmerenCILCO) sold their power plants and now only own the transmission and distribution wires that deliver electricity to your home or business.
Customers at ComEd, Ameren, MidAmerican Energy and Mt. Carmel Public Utilities all have the opportunity to save money by shopping for the supply portion of their electric bill.
At Ameren and ComEd, a customer's electric bill has been separated into two parts:
Regulated distribution of power, which is still only provided by the utility, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electric supply from their utility, or an alternate electric provider.
If customers don't choose an alternative electric provider, the utilities serve customers on 'default' service. Rates for default service are set by the competitive market, through a supply procurement portfolio developed by the Illinois Power Agency. The Illinois Power Agency's first procurement plan is still being developed, but as things stand now the agency would buy power once a year through a competitive solicitation. Rates would be set from the result of that procurement, depending on customer class.
Large customers at ComEd and Ameren -- 400 kilowatts (kW) and above -- have been declared 'competitive' by law. This means that their default service prices are set by the hourly price in the PJM or Midwest Independent System Operator wholesale market. These hourly prices can fluctuate wildly, so most large businesses have shopped for a flat electric rate from an alternative electric provider. ComEd is currently in the process of lowering its cutoff for hourly-priced default service to 100 kW.
Existing customers below 400 kW at ComEd and Ameren are served on fixed prices set by the Illinois Power Agency's procurement plan. While the agency's plan is still being developed, initially these default service rates will only change once a year, but they could change more frequently in the future.
Customers who choose an alternate electric provider still have their power delivered to them by their local utility, and contact their utility for all outage reporting. Customers may soon to able to choose to receive either a single bill from their utility for their delivery service and energy supply service, or can receive two bills, one from each company.
The Illinois Commerce Commission has reformed the natural gas industry to give customers a chance to shop for lower natural gas rates. The state's three main gas utilities -- Nicor, Peoples Gas and North Shore Gas -- opened their service areas to allow customers to choose a different company to supply them with their gas supply. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default supply service from their utility. Under default supply service, customers pay either a 'Gas Charge' or 'Natural Gas Cost' charge on their utility bill to compensate the utility for arranging for their supply. These gas supply/cost charges vary monthly, meaning customers do not have price protection and can be exposed to volatile swings in monthly prices. Customers can avoid wild swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supply charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Indiana
Natural Gas:
In Indiana, Northern Indiana Public Service Company (NIPSCO) offers all customers a chance to shop for lower natural gas rates under a pilot program. Customers at NIPSCO can choose a different company to supply them with their gas supply. Select business customers at other gas utilities, such as Citizens Gas and Vectren, may also be eligible to choose an alternative supplier. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default supply service from their utility. Under default supply service, customers pay a supply charge that usually varies monthly due to something called the he Gas Cost Adjustment (GCA) factor. The GCA automatically adjusts your monthly price for changes in the cost of gas the utility buys for you. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Iowa
Natural Gas:
Large users of natural gas in Iowa, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Under transportation service, the customer's marketer is able to use the utility's pipelines to transport the gas to the customer. Smaller customers may also qualify for pilot choice programs run by their local utility as well. Get quotes here.
Kansas
Natural Gas:
Large users of natural gas in Kansas, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Under transportation service, the customer's marketer is able to use the utility's pipelines to transport the gas to the customer. Get quotes here.
Kentucky
Natural Gas:
Columbia Gas of Kentucky offers all customers a chance to shop for lower natural gas rates. Customers can choose a different company to supply them with their gas supply. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a supply charge called the Gas Cost Adjustment (GCA), which can vary as often as quarterly or monthly. Customers can avoid wild swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Louisiana
Natural Gas:
Large users of natural gas in Louisiana, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. For example, at CenterPoint Energy, customers who burn a minimum of 25 Mcf per day, or 9,125 Mcf annually, may qualify for choice. Under transportation service, the customer's marketer is able to use the utility's pipelines to transport the gas to the customer. Get quotes here.
Maine
Electric:
The Maine Public Utilities Commission has reformed the state's electric market to give customers a chance to save money on their electric bills through choosing an alternate electric supplier. Customers at Central Maine Power, Bangor Hydro-Electric, Maine Public Service and the electric cooperatives and municipal districts can shop for a cheaper electric supply rate.
The state's investor-owned utilities sold their power plants to open the market to competition, and now only own the transmission and distribution wires, while also providing 'backstop' power to customers who do not shop for electricity. With the move to competition, the utilities have separated service into two parts:
Regulated distribution of power, which is still only provided by the utilities, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electricity supply from their utility, or an alternate electric provider.
Customers who do not choose an alternate energy provider receive default supply from the utility, or Standard Offer Service (SOS). How often the Standard Offer price changes depends on the utility, but the price generally lasts one year for residential and small commercial customers, and one month for medium and large commercial customers. Large commercial customers also must pay peak rates. The monthly changes in electricity prices, and peak rates, can be volatile, and customers can avoid this volatility by contracting with an alternative electric provider for electric supply on a fixed rate. The size cutoff varies slightly by utility, but generally small customers are under 25 kilowatts (kW) or 50 kW; medium customers are between 25 kW/50 kW and about 400 or 500 kW; and large customers are those above 400 kW or 500 kW.
Customers who choose an alternate electric provider still have their power delivered to them by their utility, and contact the utility for all outage reporting. Customers can choose to receive either a single bill from the utility for their delivery service and energy supply service, or can receive two bills, one from each company. Get quotes here.
Maryland
Natural Gas:
Retail electric choice started in Maryland in July 0f 2000, with multi-year transitions at each of the four investor-owned utilities (Baltimore Gas & Electric, Pepco, Delmarva Power and Light, and Allegheny Power). These utilities sold off their power plants, and now only own the transmission and distribution wires, while also providing 'backstop' power to customers who do not shop for electricity. With the move to competition, Maryland utilities have separated their service into two parts:
Regulated distribution of power, which is still only provided by the utility, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electric supply from their utility, or an alternate electric provider.
Customers who do not shop for supply from an alternate electric provider in Maryland receive Standard Offer Service, or SOS, from their utility. How SOS is priced depends on a customer's class and size.
Large business and industrial customers (those above 600 kW) receive hourly prices from the PJM wholesale market. These prices vary with the spot wholesale market price of electricity, which is extremely volatile. Thus, most large customers have contracted with a competitive energy provider to avoid these hourly prices, and receive rate stability.
Medium-sized business customers (25 kW to 600 kW) receive an SOS price that changes quarterly, and are known as Type II customers. All the electricity supply to serve these utility SOS customers is bought every three months, meaning prices often vary widely during the year. Customers can avoid these price fluctuations by contracting with a alternative electric provider.
SOS prices for residential and small commercial customers (under 25 kW) change every six months. Supply for this class, known as Type I, has been 'laddered' to shield customers from exposure to the wholesale market at any one time. The supply needs for these customers are split into quarters, and 25% of supply is procured every six months for a period of two years -- meaning the SOS price is a revolving mix of old and current supply contracts. While intended to shield small customers from the price volatility witnessed by larger customers, this 'laddering' can also raise prices through risk premiums. The SOS price also does not fall as quickly when the wholesale market price falls, because only a small part of SOS supply is being bought in the current market. Customers can take advantage of falling prices faster by choosing a competitive energy provider that offers lower rates when market prices fall.
Customers who choose an alternate electric provider still have their power delivered to them by their local utility, and contact their utility for all outage reporting. Customers can choose to receive either a single bill from their utility for their delivery service and energy supply service, or can receive two bills, one from each company.
The Maryland Public Service Commission has reformed the natural gas industry to give customers a chance to shop for lower natural gas rates. Starting at different points around 2000, utilities opened their service areas to allow customers to choose a different company to supply them with their gas supply. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company. Utilities with gas choice include Baltimore Gas and Electric, Washington Gas Light, Columbia Gas, Chesapeake Utilities, UGI (PPL), Easton Utilities and Elkton Gas.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default supply service from their utility. Under default supply service, customers pay a supply charge that can have different names, such as Gas Commodity Service, Gas Cost, or Purchased Gas Charge, which can be used to set the price to compare. At BGE and some of the smaller utilities, this gas supply charge varies monthly. At WGL and Columbia, the supply charge varies quarterly, with a tracker charge. The monthly or quarterly fluctuations mean customers can be exposed to volatile swings in prices. Customers can avoid wild swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Massachusetts
Electric:
Massachusetts deregulated its electricity markets in 1998. Each of the investor owned electric utilities (Nstar, National Grid, Fitchburg Gas & Electric/Unitil and Western Massachusetts Electric) now offer customers the chance to save money by shopping for the supply portion of their electric bill.
The utilities sold off their power plants, and now only own the transmission and distribution wires, while also providing 'backstop' power to customers who do not shop for electricity. With the move to competition, Massachusetts utilities have separated their service into two parts:
Regulated distribution of power, which is still only provided by the utility, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electric supply from their utility, or an alternate energy provider.
In Massachusetts, customers who do not choose an alternate energy provider receive 'basic' supply service from the utility. Rates for basic service are set via competitive bidding, and are adjusted frequently, based on a customer's class.
Typically, basic service prices for large and medium business customers change monthly. The size cutoff for customers in this class varies by your utility.
Residential and small business customers are typically served on basic service prices that are fixed for six months.
Customers who choose an alternate energy provider still have their power delivered to them by their local utility, and contact their utility for all outage reporting. Customers can choose to receive either a single bill from their utility for their delivery service and energy supply service, or can receive two bills, one from each company.
Natural Gas:
Massachusetts reformed its natural gas industry to offer all customers a chance to shop for lower natural gas rates. Customers can choose a different company to supply them with their gas supply. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default supply service from their utility. Under default supply service, customers pay a supply charge called 'cost of gas' which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Michigan
Electric:
Michigan, which for years allowed all customers to shop for an alternative electricity supplier, made several changes in 2008 to limit the amount of customers who can buy their electricity supply from a company other than the utilities.
Under Michigan's new law, only 10% of the electric sales in a utility's service area can be sold by an alternative electric supplier. This means if you're interested in saving money on your electric bill by buying from a competitor, the opportunity may not be available if too many other people have shopped for electricity from an alternative provider. If you're interested in shopping for a cheaper electric rate, or to get a customized product such as green energy, now is the time to do so, before the 10% cap is reached. Utilities will soon be building new, expensive power plants that their customers will have to pay for, and greater interest in buying supply from a competitor is expected as prices increase.
When you buy electricity from an alternative provider, you are buying the supply, or commodity, portion of your bill. Your local utility will still handle delivery of this supply to your home or business, and you will still pay them for these delivery services.
Customers who either choose to remain with the utility, or who are denied the opportunity to leave, are served on default supply service. While the cost of default service typically changes only once a year, it is subject to various 'true-ups,' or adjustments for previous years. For example, utilities often defer many supply expenses, then collect them in later years, hitting customers with higher costs than they expected when they initially consumed their power.
Natural Gas:
The Michigan Public Service Commission has reformed the natural gas industry to give customers a chance to shop for lower natural gas rates. Starting at different points around 2001-2002, Michigan Consolidated Gas (MichCon), Consumers Energy, Michigan Gas Utilities and SEMCO Energy Gas Company opened their service areas to allow customers to choose a different company to supply them with their gas supply. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default supply service from their utility. Under default supply service, customers pay a supply charge known as the Gas Cost Recovery (GCR) charge, which compensates the utility for arranging for the customer's supply. The Gas Cost Recovery can change monthly, meaning customers can be exposed to volatile swings in monthly prices. Customers can avoid wild swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Minnesota
Natural Gas:
Large users of natural gas in Minnesota, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Under transportation service, the customer's marketer is able to use the utility's pipelines to transport the gas to the customer. Get quotes here.
Mississippi
Natural Gas:
Large users of natural gas in Mississippi, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. For example, at CenterPoint Energy, customers who burn a minimum of 25 Mcf per day, or 9,125 Mcf annually, may qualify for choice. Under transportation service, the customer's marketer is able to use the utility's pipelines to transport the gas to the customer. Get quotes here.
Missouri
Natural Gas:
Large users of natural gas in Missouri, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Under transportation service, the customer's marketer is able to use the utility's pipelines to transport the gas to the customer. Get quotes here.
Montana
Electric:
Montana, which once allowed all customers to shop for their electricity provider, closed nearly the entire market to choice in 2007. Nearly all customers are now left without a choice.
Only customers above 5 megawatts (MW) can shop for an alternative energy provider. Smaller customers shopping before the ban on competition was put in place can continue to shop; however, if they return to the utility, they will lose their right to shop in the future.
Natural Gas:
Many Montana customers have the opportunity to choose their natural gas provider, and save money on their gas rate. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a supply charge which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Nebraska
Natural Gas:
Customers at Source Gas have the opportunity to choose their natural gas provider, and save money on their gas rate. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company. Customers have a two-week period in April of every year to make a choice on their gas provider.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a 'commodity charge' which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Nevada
Electric:
Natural Gas:
Nevada only allows large customers with demands greater than 1 megawatt (MW) to leave the regulated utility and buy electricity supply from a competitor. To do so, customers must apply to leave the utility at the Public Utilities Commission, and receive approval on a case-by-case basis. Customers may need to pay an exit fee for leaving the utility. Since 1997, only one customer has ever left utility service.
Large users of natural gas in Nevada, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Under transportation service, the customer's marketer is able to use the utility's pipelines to transport the gas to the customer. Get quotes here.
New Hampshire
Electric:
New Hampshire customers received the ability to choose their electric provider in 1997, part of an industry reform movement designed to give customers a chance to save money on their electric bills.
New Hampshire utilities sold most of their power plants to open the market to competition, though Public Service of New Hampshire (PSNH) still owns some generation. Utilities still own the transmission and distribution wires, while also providing 'backstop' power to customers who do not shop for electricity. With the move to competition, the utilities have separated service into two parts:
Regulated distribution of power, which is still only provided by the utilities, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electricity supply from their utility, or an alternate energy provider.
Customers who do not choose an alternate energy provider receive default service from the utility. Utilities buy default service supplies throughout the year on the wholesale market, with PSNH using its own generation for some of the supplies. For most customers, default service rates change every six months.
However, for large business customers at Granite State Electric, default service rates change monthly. To avoid these volatile monthly prices, large businesses can contract for a fixed price with an alternative electric provider.
Customers who choose an alternate energy provider still have their power delivered to them by their utility, and contact their utility for all outage reporting. Customers can choose to receive either a single bill from their utility for their delivery service and energy supply service, or can receive two bills, one from each company. Get quotes here.
New Jersey
Electric:
New Jersey opened its electricity industry to competition in 1999. Each of the four electric utilities (PSE&G, Jersey Central Power & Light, Atlantic City Electric and Rockland Electric) now offer customers the chance to save money by shopping for the supply portion of their electric bill.
The utilities sold off their power plants, and now only own the transmission and distribution wires, while also providing 'backstop' power to customers who do not shop for electricity. With the move to competition, New Jersey utilities have separated their service into two parts:
Regulated distribution of power, which is still only provided by the utility, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electric supply from their utility, or an alternate energy provider.
Customers who do not choose an alternative energy provider are served on each utility's Basic Generation Service (BGS). The price for Basic Generation Service is determined annually through auctions held by the utilities.
For large customers above 1 megawatt (MW), called the Commercial and Industrial Energy Pricing or CIEP class, the BGS price is set as hourly prices in the wholesale PJM market. These prices can be extremely volatile, so most large customers choose an alternate (or third-party) energy provider for price stability.
Customers under 1 MW are known as the BGS Fixed Pricing Class, and receive a flat, annual rate from the auction, although it may be seasonally adjusted.
Customers who choose an alternate energy provider still have their power delivered to them by their local utility, and contact their utility for all outage reporting. Customers can choose to receive either a single bill from their utility for their delivery service and energy supply service, or can receive two bills, one from each company. Get quotes here.
Natural Gas:
The New Jersey Board of Public Utilities has reformed the natural gas industry to give customers a chance to shop for lower natural gas rates. Since 2000, customers at PSE&G, New Jersey Natural Gas, South Jersey Gas and Elizabethtown Gas have been able to choose an alternative supplier for their natural gas supply service. Their gas supply will still be delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate, or third-party, gas supplier, they receive Basic Gas Supply Service (BGSS) from their utility. For smaller users like residential customers, the Basic Gas Supply Service changes about once a year (for customers using less then 5,000 therms annually). For large business customers (using more than 5,000 therms annually), the Basic Gas Supply Service charge varies monthly, meaning customers do not have price stability. Customers can avoid wild swings in the Basic Gas Supply Service by contracting with an alternative gas supplier. Very large customers who are 'interruptible' are also served on monthly rates, but these rates are different than the Basic Gas Supply Service rate.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supply charges, or separate bills from the utility and alternate energy provider. Get quotes here.
New Mexico
Natural Gas:
Customers in New Mexico have the opportunity to choose their natural gas provider, and save money on their gas rate. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a 'Cost of Gas Component' which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
New York
Electric:
New Yorkers have had the opportunity to shop for their electricity provider since the late 1990s. The New York Public Service Commission (PSC) started by 'unbundling' your energy bill, separating charges for delivering energy to your home or business from charges for the energy itself.
It's in the energy, or commodity, charges that you can choose an alternate provider. Alternate electric providers, known as Energy Service Companies, or ESCOs, in New York, compete for you business in most utility areas, including Consolidated Edison, National Grid (Niagara Mohawk), New York State Electric & Gas (NYSEG), Rochester Gas & Electric, Central Hudson, Orange and Rockland, and even the Long Island Power Authority.
In New York, each utility continues to offer what is called 'default service,' or service to customers who have never shopped for an energy provider. This default service serves as a benchmark for pricing in the market.
Each utility sets its default service price differently, based on where it is in the transition to full competition. However, for smaller customers, most charge a rate that varies by month, and includes a mix of supply bought on long-term hedges and short-term market purchases. This means the utility price fluctuates throughout the year, and does not provide price certainty or stability.
For very large customers (those above 500 kW or so), the utilities charge 'hourly' pricing, or prices that vary with real-time changes in prices in the wholesale market. These prices can be extremely high and volatile. The cutoff for 'Mandatory Hourly Pricing' (MHP) varies by utility, but at ConEd, hourly pricing is currently being implemented for customers 500 kW and above. However, customers can avoid these volatile hourly prices by signing up with an alternative electric provider, or ESCO.
In New York, the two major charges for energy supply from the utility are the Market Supply Charge (MSC) and the Merchant Function Charge (MFC). The Market Supply Charge is the price the utility pays for the pure electricity you consume. The Merchant Function Charge covers other costs involved with serving you on default service, such as billing and collection charges. Combined, the MSC and MFC dictate what you pay for energy supply, and are what should be used as a reference when shopping for an alternate electric provider. Typically, your utility bill may indicate a 'total electricity supply charge' which combines the MSC and MFC so you can compare prices from competitors.
No matter who you choose to buy energy from, your local utility (ConEd, Central Hudson, National Grid, NYSEG, RG&E, Orange and Rockland and LIPA) will continue to deliver your electricity and respond to service interruptions and outages. You will still pay your utility for these services. In New York, depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and alternate energy provider charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Natural Gas:
New Yorkers have had the opportunity to shop for their natural gas provider since the late 1990s. The New York Public Service Commission (PSC) started by 'unbundling' your energy bill, separating charges for delivering energy to your home or business from charges for the gas supply itself.
It's in the gas supply, or commodity, charges that you can choose an alternate provider. Alternate gas suppliers, know as Energy Service Companies or ESCOs in New York, compete for you business in most utility areas, including Consolidated Edison, National Grid (Niagara Mohawk), New York State Electric & Gas (NYSEG), Rochester Gas & Electric, Central Hudson, Orange and Rockland, National Fuel Gas, Corning Natural Gas, Keyspan Energy Delivery New York, Keyspan Energy Delivery Long Island, and St. Lawrence Gas.
In New York, each utility continues to offer what is called 'default service,' or service to customers who have never shopped for an energy provider. This default service serves as a benchmark for pricing in the market, and typically changes every month, meaning customers do not have price stability. Choosing an alternate gas supplier, or ESCO, can give customers a locked-in gas supply rate.
Each utility has a different default service rate, based on its supply portfolio. Depending on your service area, your default service charges may be lumped into a single 'commodity' charge on your gas bill, which you can use as a benchmark for comparing prices from ESCOs. Some gas utilities break down your supply charges further, into a Gas Supply Charge (GSC) and a Merchant Function Charge (MFC). The Gas Supply Charge is the price the utility pays for the actual gas supply you consume. The Merchant Function Charge covers other costs involved with serving you on default service, such as billing and collection charges. Combined, the GSC and MFC dictate what you pay for energy supply, and are what should be used as a reference when shopping for an alternate energy provider. Typically, your utility bill may indicate a 'total gas supply charge' which combines the GSC and MFC so you can compare prices from competitors.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. In New York, depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and ESCO supply charges, or a separate bill from the utility and alternate energy provider. Get quotes here.
North Carolina
Natural Gas:
Certain large users of natural gas in North Carolina, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Get quotes here.
North Dakota
Natural Gas:
There is currently no choice for customers with their local utility company. There is no LDC unbundling currently.
Customers directly interconnected to a FERC-jurisdictional interstate pipeline in any of the states have the ability to transport their own suppliers under the pipeline's open access tariff. Get quotes here.
Ohio
Electric:
Retail choice started in Ohio in 2001, and the full transition to competition has continually been extended. In 2008, legislators again tacked on several more years in the transition to full competition.
Most Ohio utilities continue to own generation, but the FirstEnergy companies sold off their power plants. The utilities continue to own the transmission and distribution wires, while also providing 'backstop' power to customers who do not shop for electricity.
With the move to competition, Ohio utilities have separated their service into two parts:
Regulated distribution of power, which is still only provided by the utility, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electric supply from their utility, or an alternate electric provider.
Under new legislation, utilities are required to develop 'Electric Security Plans' to serve customers who do not choose an alternative energy supplier. The pricing under the electric security plan depends on the utility. The plans are currently being debated by the Public Utilities Commission of Ohio, and are supposed to take effect January 1, 2009. However, their approval before that time may not occur, and utilities may continue their current pricing until the security plans are approved.
Under the security plans, customers will be responsible for a host of new charges, including surcharges for energy efficiency, economic development, new power plants, and updated and deferred fuel costs. Additionally, the security plans propose deferring current costs into the future. While this may keep rates low right now, customers will have to pay interest on carrying costs for such deferrals, ultimately raising rates. Choosing an alternative supplier may allow customers to avoid some of these charges, but that is subject to the outcome of pending cases at the Public Utilities Commission. Get quotes here.
Natural Gas:
The Public Utilities Commission of Ohio has reformed the natural gas industry to give customers a chance to shop for lower natural gas rates. Customers at Dominion East Ohio, Columbia Gas, Duke Energy and Vectren Energy Delivery have the ability to choose an alternative supplier for their natural gas supply service. Their gas supply will still be delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
Traditionally, local utilities arranged for gas supply for their customers and charged a supply rate known as a Gas Cost Recovery (GCR) rate. The rate could be compared to the rates charged by alternate suppliers.
However, most of the local utilities are transitioning away from arranging for gas supply for customers who don't choose an alternate provider, and are doing away with the GCR rate. Under this process, utilities are exiting what is called the 'merchant' function of gas supply service, and instead will merely bill for gas supply that is arranged by another company.
Utilities are engaged in a multi-step transition away from this merchant function, with the first step being auctioning off customers' supply needs to competing suppliers, rather than the utility procuring the supply needs itself. Under the new process, the utility no longer charges a GCR rate, but instead charges something new called a 'Standard Service Offer' rate, or SSO. The SSO is similar to the GCR in that it is a supply price which customers should use to compare offers from competitors. However, the SSO rate is set by competing suppliers in the market via an auction and is based on the NYMEX price for natural gas, unlike the GCR which was based on a utility supply portfolio.
Dominion East Ohio and Vectren Delivery currently have Standard Service Offer rates. Duke and Columbia still use GCRs but are moving towards using the SSO. The customer sees little difference in the change, as they still see a supply charge on their bill under both methods, and can still shop for an alternate supplier under both methods. The next step in the transition, which may come in the spring of 2009 at Dominion pending regulatory approval, is changing the SSO so that customers who do not choose an alternate supplier are assigned to a specific competitive supplier, rather than the supplier merely bidding for a slice of Dominion's system.
Both the SSO and GCR change monthly, which means customers are exposed to volatility. Choosing an alternate provider permits customers to lock-in a cheap rate before the more expensive winter season.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and competitive supply charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Large users of natural gas in Oklahoma, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. For example, at CenterPoint Energy, customers who burn a minimum of 25 Mcf per day, or 9,125 Mcf annually, may qualify for choice. Get quotes here.
Oregon
Electric:
While Oregon instituted some competition in its electric industry in 1999, only medium to large business customers can choose their electricity provider for the supply, or commodity, portion of their bill.
Business customers must have a demand greater than 30 kilowatts (kW) to shop for power. The ability to choose an alternate provider depends on your utility territory.
At Portland General Electric (PGE), there are four set times during the year, or shopping windows, when you can choose to take supply from an alternative energy provider. Outside of these windows, you must stay with PGE.
At Pacificorp, you may only choose an alternative electric supplier during a once-annual, three-day shopping window in November. Outside of this window, you may not leave Pacificorp.
Customers above 30 kW and less than 1 megawatt (MW) are eligible for a 'shopping credit' on their bill of 5¢/kWh, which is a line item reduction in their charges for choosing an alternate electric supplier. The credit is limited to the first 10% customers of each utility who shop.
Both utilities also cap the total number of customers who can choose an alternative supplier.
Customers who choose an alternate energy provider still have their power delivered to them by their utility, and contact their utility for all outage reporting. Customers can choose to receive either a single bill from their utility for their delivery service and energy supply service, or can receive two bills, one from each company. Get quotes here.
Rhode Island customers received the ability to choose their electric provider in 1997, part of an industry reform movement designed to give customers a chance to save money on their electric bills.
Rhode Island utilities sold their power plants to open the market to competition, and now only own the transmission and distribution wires, while also providing 'backstop' power to customers who do not shop for electricity. With the move to competition, the utilities have separated service into two parts:
Regulated distribution of power, which is still only provided by the utilities, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electricity supply from their utility, or an alternate energy provider.
Customers who do not choose an alternate energy provider receive default service from the utility, or Standard Offer Service (S0S). SOS is bought by the utility on long-term contracts, which include a fixed base price and adjustable fuel price. The SOS price is adjusted annually to take into account varying fuel costs. All customers receive the same SOS price, regardless of size or class.
Customers who choose an alternate energy provider still have their power delivered to them by their utility, and contact their utility for all outage reporting. Customers can choose to receive either a single bill from their utility for their delivery service and energy supply service, or can receive two bills, one from each company. Get quotes here.
Natural Gas:
Some business customers in Rhode Island have the right to choose their natural gas provider, and save money on their gas rate. At National Grid, choice is limited to business customers using more than 5,000 therms per year. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a 'cost of gas' charge which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. You will receive a separate bill for your gas supply from your alternative gas supplier. Get quotes here.
South Carolina
Natural Gas:
There is currently no choice for customers with their local utility company. There is no LDC unbundling currently.
Customers directly interconnected to a FERC-jurisdictional interstate pipeline in any of the states have the ability to transport their own suppliers under the pipeline's open access tariff.
South Dakota
Natural Gas:
Many South Dakota customers have the opportunity to choose their natural gas provider, and save money on their gas rate. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company. All customers at MidAmerican Energy Company and NorthWestern Energy Corporation can choose their gas provider. At Montana-Dakota Utilities Company, customers must use at least 2.5 million Btu per hour to choose an alternative supplier, limiting choice to large customers.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a 'Gas Cost Component' which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Tennessee
Natural Gas:
There is currently no choice for customers with their local utility company. There is no LDC unbundling currently.
Customers directly interconnected to a FERC-jurisdictional interstate pipeline in any of the states have the ability to transport their own suppliers under the pipeline's open access tariff.
Texas
Electric:
In 2002, most of state of Texas was opened to competition for retail electricity. That means about 85% of Texans have the right to choose their own electricity provider.
These Texans live in what is known as the Electric Reliability Council of Texas (ERCOT), which covers areas including Dallas-Ft. Worth, Houston, Corpus Christi and much of West Texas.
If your local wires utility is one of these companies, you can choose your electric provider:
Oncor (Dallas-Ft. Worth)
CenterPoint (Houston)
AEP Texas Central (Corpus Christi)
AEP Texas North (Abilene area)
Texas-New Mexico Power
Sharyland
Here's how electric choice in Texas works. You get to choose your electric provider based on whatever criteria you like -- price, stability, green power, etc. Your electric provider sells you your power, and pays your local utility (Oncor, CenterPoint, etc.) to transmit the power to your home. You only pay one bill to your electricity provider; you no longer pay your wires utility. But if you ever need to report an outage or other emergency, you contact your utility (Oncor, CenterPoint, etc.) because they still own the lines and are responsible for maintenance.
What if you've never chosen an electric provider before? You're automatically on a 'legacy' provider, which used to be the old utility before Texas was opened to competition, but is now a separate company. For a while, these legacy providers, also called 'Affiliated Retail Electric Providers' or 'incumbents,' charged rates set by the Public Utility Commission, during a transition period. However, this transition period ended January 1, 2007, and the legacy providers can now charge a rate determined by the market. That means if you haven't shopped around yet, you should.
The legacy providers vary by utility area. For example, if you live in the Dallas area and are served by Oncor, your legacy provider is TXU Energy. For the Houston area, if you're served by CenterPoint, your legacy provider is Reliant Energy
Here's a list of all the legacy providers:
Utility Area
Legacy Retail Provider
AEP Texas Central
CPL Retail Energy
AEP Texas North
WTU Retail Energy
CenterPoint
Reliant Energy
Oncor
TXU Energy
Sharyland Utilities
First Choice Power
Texas-New Mexico Power
First Choice Power
If you are still on your legacy energy provider, you may be paying more than you need to. It's a good idea to shop around and look for a lower rate, especially since switching your energy provider is free.
What about areas not open to competition?
If your utility is SWEPCO (AEP), El Paso Electric, Entergy, or Southwestern Public Service (Xcel), you cannot choose your electric provider at this time. The Public Utility Commission is still studying how to open those areas to electric competition. Get quotes here.
Utah
Natural Gas:
Certain large users of natural gas in Utah, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Get quotes here.
Vermont
Natural Gas:
Certain large users of natural gas in Vermont, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Get quotes here.
Virginia
Electric:
Virginia, which once allowed all customers to shop for their electricity provider, closed nearly the entire market to choice in 2007, at the behest of the state's largest utility, Dominion Power. Nearly all customers are now left without a choice.
Only customers above 5 megawatts (MW) can shop for an alternative energy provider. Smaller customers shopping before the ban on competition was put in place can continue to shop; however, if they return to the utility, they will lose their right to shop in the future.
Natural Gas:
Virginia reformed its natural gas industry to offer all customers a chance to shop for lower natural gas rates. Customers can choose a different company to supply them with their gas supply. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a supply charge called the Purchased Gas Charge which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Washington
Natural Gas:
Certain large users of natural gas in Washington, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. Get quotes here.
Washington, D.C.
Electric:
The District of Columbia Public Service Commission has reformed the district's electric market to give customers a chance to save money on their electric bills through choosing an alternate electric supplier. Customers at Pepco can shop for a cheaper electric supply rate.
Pepco sold its power plants to open the market to competition, and now only owns the transmission and distribution wires, while also providing 'backstop' power to customers who do not shop for electricity. With the move to competition, Pepco has separated service into two parts:
Regulated distribution of power, which is still only provided by Pepco, and
Supply of the electric commodity, which is open to competition.
Customers can choose to receive their electricity supply from their utility, or an alternate electric provider.
Customers who do not choose an alternate electric provider receive default supply from the utility, or Standard Offer Service (SOS). Default supply prices change once annually. Supply for default service is bought over a period of two-to-three years (depending on customer size), with the results of the supply procurements 'laddered' and blended into a single price. The end result is that the default service price may contain a risk premium in it, and also does not change to reflect lower market prices except for the annual price reset. Choosing an alternative electric supplier allows customers to receive the benefit of falling prices faster.
Customers who choose an alternate energy provider still have their power delivered to them by Pepco, and contact Pepco for all outage reporting. Customers can choose to receive either a single bill from Pepco for their delivery service and energy supply service, or can receive two bills, one from each company. Get quotes here.
Natural Gas:
The District of Columbia reformed its natural gas industry to offer all customers a chance to shop for lower natural gas rates. Customers can choose a different company to supply them with their gas supply. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a supply charge called the Purchased Gas Charge which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
West Virginia
Natural Gas:
Although all customers in West Virginia have the right to choose their natural gas provider, competition for gas is only widely available for business customers. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a commodity charge which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
Wisconsin
Natural Gas:
Large users of natural gas in Wisconsin, often known as transportation-level customers, are able to nominate an alternative provider for their natural gas supplies instead of their local utility. For example, at Wisconsin Public Service, customers who use 5,000 or more therms of natural gas per year, per meter, may choose an alternative supplier for their natural gas. Get quotes here.
Wyoming
Natural Gas:
Customers at Source Gas have the opportunity to choose their natural gas provider, and save money on their gas rate. Customers choosing an alternate gas supplier will still have their gas supply delivered by the local utility, but customers will be buying their gas supply from a new company. Customers have a two-week period in April of every year to make a choice on their gas provider.
A customer's natural gas bill has been separated into two parts:
Regulated distribution of gas, which is still only provided by the utility, and
Supply of the gas commodity, which is open to competition.
Customers can choose to receive their gas supply from their utility, or an alternate gas provider.
If customers do not shop for an alternate gas supplier, they receive default sales service from their utility. Under default sales service, customers pay a 'commodity charge' which can vary as often as monthly. Customers can avoid wild monthly swings in the gas supply charge by contracting with an alternative gas supplier.
No matter who you choose to buy energy from, your local utility will continue to deliver your gas and respond to service interruptions and outages. You will still pay your utility for these services. Depending on your area, you can choose to receive a single bill from your utility listing your utility delivery charges and supplier commodity charges, or separate bills from the utility and alternate energy provider. Get quotes here.
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