If you spend most of your leisure time out of the house, none of these plans will do much for your bottom line. But if home is your favorite place to be, you could profit. Based on the estimates of energy companies, most people use about 31% of their total energy on the weekends. If you go through the average 1,000 kWh per month, you'll get about 310 kWh for free. Using data compiled by the EIA, we estimated 30% of average total energy is also used during evenings (including weekend evenings), working out to about 300 free kWh.
Even though customers in deregulated cities routinely pay more for electricity, there is a bright spot. The gap between the average price paid for electricity between deregulated cities like Houston and regulated cities like San Antonio have dwindled to the narrowest point ever to 8.8 percent. Back in 2006, customers in deregulated cities were paying nearly 47 percent more for electricity than their counterparts in regulated cities.

With moderate fluctuations taken into account, the variable plans is still cheaper. Our bill is approximately $10 more in the winter, but we’d still save $138 over the course of a year. It’s more a question of whether you can roll with the punches of an unpredictable rate, or would sleep easier knowing your bill is going to look the same month after month.
The mid to late 1880s saw the introduction of alternating current (AC) systems in Europe and the U.S. AC power had an advantage in that transformers, installed at power stations, could be used to raise the voltage from the generators, and transformers at local substations could reduce voltage to supply loads. Increasing the voltage reduced the current in the transmission and distribution lines and hence the size of conductors and distribution losses. This made it more economical to distribute power over long distances. Generators (such as hydroelectric sites) could be located far from the loads. AC and DC competed for a while, during a period called the War of Currents. The DC system was able to claim slightly greater safety, but this difference was not great enough to overwhelm the enormous technical and economic advantages of alternating current which eventually won out.[1]
Unlike with long-term plans, monthly, variable rate (no-contract) plans have no cancellation fees. You won’t have to pay a penalty if you decide to take your business elsewhere because you found a better deal. Plus, you won’t be left paying more than you should if the market rate for energy trends down. However, if the market prices rise, you’ll have to pay more than those who are in-contract.
The mid to late 1880s saw the introduction of alternating current (AC) systems in Europe and the U.S. AC power had an advantage in that transformers, installed at power stations, could be used to raise the voltage from the generators, and transformers at local substations could reduce voltage to supply loads. Increasing the voltage reduced the current in the transmission and distribution lines and hence the size of conductors and distribution losses. This made it more economical to distribute power over long distances. Generators (such as hydroelectric sites) could be located far from the loads. AC and DC competed for a while, during a period called the War of Currents. The DC system was able to claim slightly greater safety, but this difference was not great enough to overwhelm the enormous technical and economic advantages of alternating current which eventually won out.[1]

Of course, choosing a new electricity supplier or natural gas supplier does not mean you are replacing your utility. Your utility will still deliver whatever energy supply you choose, safely and reliably. Since your utility company depends on where you live, you don't have to worry about choosing a utility company. In general, utilities are responsible for maintaining the energy infrastructure. If you experience a power outage or see a downed power line, call your utility company. These are listed in the Utility Companies column below.

×