But deals that appear to offer the lowest price can contain additional risks to you and hidden costs.
CBIA Energy Connections' expert team helps you make sense of it all. We take the time to explain all the variations in the market in clear, straightforward terms so that you understand what’s behind different offers and options.
And once you're in our program, we monitor the marketplace on your behalf to make sure that you renew when pricing is most favorable
In short, we help you make informed decisions.
Let us do the work
For larger electricity and natural gas users both inside and outside of Connecticut, we put market competition to work for you through our auction process, in which state-approved electric and gas suppliers actively compete for your business.
For electricity users with lower usage, our group purchasing program gives you the price advantages enjoyed by much larger companies.
We also can help your company find greater energy cost savings through these additional services included with CBIA Energy Connections.
Utility bill audits
Most manufacturers and non-profit organizations are exempt from paying sales tax for electricity and natural gas. However, the utility and/or supplier often charge sales tax in error. Upon receipt of all invoices, CBIA performs an audit to ensure that the correct tax rules are applied.
We have assisted many of our members, resolving issues with the utility/supplier with often significant refunds. In one instance, we identified over $60,000 in refunds for a CBIA member.
Our audit process also includes gross receipts/earnings tax. Manufacturers with a specific SIC code are entitled to a 5% (gas) and 8.5% (electricity) credit off the total monthly bill.
Rate class audits
We review your annual consumption to determine if it warrants the current rate class, and if not, we work with the utility to reclassify rate class.
Demand response/ICAP tag management programs
Each year, businesses pay demand charges that account for a significant percentage of their total electric bill.
Demand charges are typically based on your peak energy use during the year. Regardless of when your peak usage occurs, you pay for the availability of your peak usage.
The good news? There are ways to significantly reduce demand charges by responding to anticipated peak periods.
Together with our participating suppliers, we notify you of anticipated peak hours, which allow you to curtail electricity use during this time. The less energy used during the peak hours results in lower demand charges for the following year.
By managing your ICAP tag (highest summer demand value) we can determine the best strategy for your next contract.
An index (as opposed to a fixed) contract is an agreement where the commodity (energy portion of a price) floats with the market until the time that the customer decides to lock, typically in those months where costs and/or usage is highest.
As with fixed pricing, components of capacity, transmission, ancillaries, and losses are included in a base price to lock in these costs while the price of energy floats on the market.
The benefits of using an index agreement include little to no premiums for load shaping, load following, or forward risk, benefiting the client from a lower energy cost.
However, with reward, there is a risk, as the index client bears the full risk of market volatility.
For this reason, we work with you to determine the best strategy for your company's needs when considering an index contract.
Tell me more about CBIA Energy Connections
Want to put CBIA Energy Connections to work for your company? Just complete and submit the following form.
Email or call CBIA's Tom Guerra (860.244.1160) for more information.