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Many times material change language is broad enough that it touches upon several aspects of the supply agreement. If there is a change in the operations of the company, such as increases in production lines or shutting down of a facility, this can be interpreted as a material change by the energy supplier.
The concept of “usage bandwidth” has to do with the certainty of how much energy you will use (electricity or natural gas) in any given month.
Energy Procurement Mistake No. 2: Missing the Most Competitive Rates We’ve all experienced it: that moment we realize we paid more than we should have. We thought we did our research and negotiated well, but it turned out that someone else got a better deal. If you’ve been getting bids on electricity supply for years, […]
Add/delete language is of primary interest to organizations with a significant number of energy accounts.
Termination fees assessed by an energy supplier don’t just apply to the overall contract, but typically apply on an account-by-account basis.
Through an ongoing series, we will explore the five key clauses that must be mastered in order to negotiate successful energy supply agreements.
It has been more than 15 years since the energy markets in the US have deregulated. At this point, electricity supply is deregulated in about a fourth of the states, and natural gas is deregulated in many more. Deregulation itself takes a number of forms, but the process is designed to give you, the buyer, […]
This article concludes our “Definitive Guide to Hiring an Energy Advisor” designed to assist you, the purchaser, in finding, evaluating, and engaging an energy advisor. Over the past four editions, we have shared our insights into the important elements to consider if your organization is shopping around for advice. If you missed any of the […]
Many electricity markets follow natural gas markets as the majority of the generation is fueled by natural gas, and those gas generators set the price of power as often as 80% of the time. However, as energy markets evolve, this historically tight correlation has broken in some regions, namely ERCOT.
Your organization’s electricity contract is set to expire, and you have to make a decision soon. You’ve been told that you’ll get the best deal if you join a regional energy aggregation that already has a membership made up of around 20 organizations like yours. You’ve also been assured that the size and membership of […]
