Businesses in Illinois have saved $1.7 billion through energy policy deregulation and switching to a retail energy provider, according to a recent independent study by the Energy Research Consulting Group (ERCG).
The study examined Illinois businesses between 2011 and 2015 and found that those participating in Commercial Electric Choice programs had saved about $337 million annually during those years.
Utility rates were higher than market rates, but by being part of Commercial Electric Choice programs businesses were able to lock in lower rates. The Illinois Power Agency procures power for the major utilities in the state, and had set prices high, according to the ERCG study. However, Commercial Electric Choice programs allow businesses to work with energy consultants to negotiate better rates.
Good Energy has been helping Illinois businesses save money on their electricity. For example, Good Energy works with Jones Lang Lasalle, a large property management firm, to create property aggregation programs. Good Energy negotiated a price well below utility tariff rates, providing considerable savings for the firm.
In addition to Illinois, the study found that Commercial Electric Choice programs have saved billions for other states, including:
California & Michigan, $3.3 billion
New England, $1.7 billion
Ohio, $3.5 billion
Pennsylvania, $3.4 billion
“Throughout the country, we’re seeing more and more businesses save money through Electric Choice programs,” says Javier Barrios, Managing Partner of the New York-based energy consultant Good Energy. “Over the years, we have been able to help businesses negotiate for lower prices, and we’re seeing the overall results and benefits of competitive energy markets now.”