As more states have deregulated energy markets and allowed community energy aggregation, customers are weighing the benefits of signing up for such plans.
The pluses are overwhelming: Community energy aggregation programs allow customers to pool their energy buying power, often for lower, more stable rates.
“Community Energy Aggregation has freed consumers to take charge of their own energy sources, find better deals and ensure that rates avoid major fluctuations,” says Javier Barrios, Managing Partner of the New York City-based energy consultant Good Energy. “Good Energy has managed hundreds of successful Community Energy Aggregation programs in states such as Massachusetts, Illinois and New Jersey. More and more communities are finding aggregation programs to be the solution to their energy needs.”
1. Increased bargaining power
By combining the buying power of residents and businesses, Community Energy Aggregation programs enable consumers to negotiate for lower prices, creating competition among energy suppliers. In addition to being beneficial to individual households, community energy aggregation can often provide lower rates for businesses and multifamily properties.
2. Knowledgeable consultants
To help communities make sense of energy deregulation, energy consultants, such as Good Energy, help negotiate the best rates based on local regulations and energy suppliers. Energy consultants can assist communities in navigating the legislative framework required to implement such programs, too.
3. Stable electricity pricing
Community energy aggregation programs allow greater transparency and help ensure that businesses and residents will have predictable, stable electricity prices. Some communities, especially in the northeast, have avoided wild energy pricing swings in the winter by being members of community energy aggregation programs.
4. Easy opt out
If community energy aggregation programs are no longer beneficial to residents or businesses, they can easily opt out. Such programs don’t bind consumers and allow for leaving the agreement.
For more information about community energy aggregation and to find out if a program is available in your state, visit Good Energy’s Community Energy Aggregation page.