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Understanding Your Choices
AMERIgreen’s Energy Shop: Understanding Your Choices
When you visit AMERIgreen’s Energy Shop, the first step in shopping for an electricity plan is typing in your zip code to view the day’s best electricity deals. When the results are displayed, you will notice that there are a number of options. These deals are displayed by cheapest energy plan to more expensive.
As in most shopping scenarios, you will be drawn to the cheapest option. But sometimes, the cheapest option might not be the best deal for you.
There are many variables to consider when shopping for electricity. Here are just a few items to consider when choosing your AMERIgreen Energy Shop deal.
Electricity vs. Renewable Electricity
Traditional electricity uses exhaustible fossil fuels and tends to cost less than renewable electricity.
If you want to go green, renewable electricity may be for you. The majority of renewable electricity is generated naturally by solar, wind, hydropower, geothermal, landfill methane gas, and waste energy. Keep in mind that renewable electricity can cost more per kilowatt hour than traditional electricity, but depending on your usage the cost could be incremental for the benefit you are providing the planet! In some cases people are only paying $5-$12 additional per year with renewable electricity.
Length of Term
The AMERIgreen Energy Shop currently offers deals that have 12, 24, or 36 month contracts. There is also a plan that has a month-to-month option.
The longer you can lock in a plan, 36 months, the lower the kilowatt hour price. With longer-term contracts, there can be a cancellation fee attached to the contract.
Some shorter-term contracts such as 12 months or month-to-month may not have a cancellation fee, but may also include Administrative Fees.
Fixed & Variable Rates
When choosing your AMERIgreen Energy Shop deal with a new electricity supplier, consider if you would like a Fixed Rate or a Variable Rate.
Fixed rates remain the same for the length of the contract, no matter how the market prices may fluctuate. Fixed rates can provide stability and predictability as the kWh price stays the same for the entirety of your contract. There’s also the risk, however, that the market price may drop below your fixed rate and you will end up paying more. In some instances, the supplier you choose may charge you a cancellation fee. However, in most cases a fixed rate is a good decision so you can have peace of mind knowing what your monthly rate will be and not worrying about the price swings.
Variable rates reflect current market conditions – if the market price rises or drops, so does the variable rate. If you closely monitor market prices and adjust your usage, you could save. Variable rates tend to be unpredictable as they can change by the hour, day, or month, depending on the terms of your supplier’s disclosure statement.
Price and Price to Compare
After you have learned about the type of electricity you are interested in, length of term, and rates, the next item to consider is price and price to compare.
We tell you up front the price the electricity supplier is charging per kilowatt hour. When you lock in a fixed rate, that price will remain constant throughout the length of your contract. If you lock in a variable rate, that price is the market price for that day and may change according to the market.
Price to Compare
The AMERIgreen Energy Shop also tells you up front what the utility is currently charging its customers. The Price to Compare is the price per kilowatt hour (kWh) your utility is currently charging and includes: charges for generation and transmission; the state’s gross receipts tax; and the utility’s charges for implementation of the Alternative Energy Portfolio Standards (AEPS).
AMERIgreen Energy Shop Helps You Choose
Shopping for electricity should not be a daunting task. We have made the ‘fine print’ simple and understandable.