Archive for houston electric company
Electric Rates in Houston at 8 Month Low
Posted by: | CommentsI have had more then a few people ask me when I expect for electric rates to bottom out. Electric Service Consumers in Houston want to know if they should hold out longer and wait for rates to go lower. There is no good answer to that question. Just as it is impossible to pick a top or bottom in the stock market it is also impossible to pick a top or bottom with electric rates and the commodities market in oil and natural gas which Texas electric rates tend to follow.
Right now Houston Texas Electric rates are at an 8 month low and are sitting at afloor created back in January. It is a perfect floor to bounce off of if I have ever seen one, only speaking from a technical standpoint. If I was needing to lock into an electric rate I would lock in for 1 year or longer as rates will likely bounce off this floor and there is no telling when they may come back down. When picking Houston Electric rates you will have 3 options with Affordable Energy. They are currently offering a 1 year term, a 2 year term, and a 3 year fixed rate term. It all depends how risk averse you are but if you want to lock in near a bottom for the long term we recommend the 3 year fixed rate term.
By the way, regarding this drop in Houston Electricity rates, we called it. We have been telling people for several months that the spike in energy prices was a bubble that would soon burst. With the breaking down of Hurricane Gustav the gulf coast was spared with all their natural gas infrastructure which allowed energy and Houston electricity prices to come down even further, I think we can expect rates to come down another penny in the next few months before they come up again but this is only my estimation. Your guess could be better then mine otherwise I would be trading energy commodities.
Texas Electric Rates at a 3 Year Historical High
Posted by: | CommentsMany people, especially in Houston are noticing electric rates peaking at prices similar to what you see at the gas station, ok not that bad, but still it is getting there. Houston Texas has a really bad congestion issue and line loss problems associated with such a large populated area and piping in electricity from outside the city. Unfortunately the Electric Reliability Council of Texas prices Texas by 5 regions so even if you live outside of Houston in a suburb or rural area but still reside in Harris County or most of the Centerpoint Utility area you will pay more for energy then anyone else in the state simply based on your location. You get penealized for the city of Houston Texas and their congestion and inefficiencies.
Other factors causing Houston electric rates in the state of Texas and not just Houston to rise higher is the skyrocketing natural gas prices and oil prices. Power plants in Texas use natural gas in large quantities to produce our electricity and this demand has caused natural gas to rise higher and higher. Stock and energy traders are hedging against bad investments in the stock market by buying up natural gas and oil futures. This trading in energy causes additional pressure for energy prices to rise. I believe prices will dip back down somtime in 2008 but when is anybodys guess.
Although you don’t have a choice in how ERCOT penalizes Harris County Texas you do still have a choice in the electric provider you choose. We recommend Affordable Energy as a good solid residential electric provider in Houston Texas. Affordable can save you money on your Houston electric bill simply by signing up with them when your current electric agreement with perhaps TXU Energy or Reliant Energy comes up on expiration. Affordable Energy is a traditional energy company although they also offer the opportunity to sell their electricity to a few people in an MLM sales marketing business. Since Houston Affordable Energy is just about to relaunch their MLM business on May 31st 2008 you have the potential to make more money in this work from home opportunity then most people who get in at a later stage of the business life cycle when the momentum starts to die down. Think about it, you can make money on your own energy bill and reduce your electric rate as well as have your own little electricity franchise.
Most people know about Ambit Energy and Ignite Energy and how they really made it big in the Texas market. Ignite is estimated to have well over 400,000 electric customers. Ambit Energy is on target to grow at close to the same pace as Ignite. Affordable Energy in Houston is your next opportunity to get in at the ground floor of a very profitable opportunity.