Did you notice yourutility billgo down in the fall of 2024?
If so, youre not alone.
This was preceded by a smaller dip in September.
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That means when Americans used natural gas, the price was lower than usual.
But PocketSmith doesnt expect these reductions to stick.
Projections for 2025 show electricity prices may see a modest reduction or stay the same.
Thats in addition to the seasonal price inflation we see every winter when demand for heating gets higher.
But, we know how you could potentially save on your utility bill.
Our team has compiled alist of creative waysyou can fatten your bank account this week.
This is a long list, so dont get overwhelmed.
Well keep it updated as offers changes or expire.
Odds are youve already tried to use less energy.
You may have even installed a programmable thermostat or usedInflation Reduction Act creditsto purchase new, energy-efficient appliances.
The secret is shopping around for who generates your electricity or sources your natural gas.
Doing so is completely possible if you live in a state with a deregulated energy market.
What Does It Mean to Live in a Deregulated Energy Market?
In about half the country, utility companies generate and deliver energy.
You dont get to shop around for utility companies; youre assigned one based on your address.
In states with deregulated energy markets, that same, assigned utility company will still deliver your energy.
In fact, in most states theyll still deliver your energy bill to you every month.
But you’re able to shop around for who generates the energy you consume.
Carefully read a contract before signing.
How long is the contract?
First, youll want to see how long the contract lasts.
Short-term contracts arent great because they generally come with a too-good-to-be-true rate.
This rate will help you save money at the beginning, but the savings arent likely to last.
When the contract expires, youre likely to face rates that are less generous than the competition.
At that point the utility company is hoping youll stay on at a higher rate because of inertia.
The alternative is going back to shopping the market again to find a better deal.
Conversely, if the contract is too long, that can be a red flag, too.
The sweet spot is generally somewhere between 12 and 18 months.
Are there cancellation fees with this utility company?
Contracts of all lengths can come with earlycancellation fees.
If theres a possibility you might move before the contract expires, these fees are even more concerning.
Fixed or variable rates?
Those with longer-term contracts will want to take note of whether rates are fixed or variable.
Variable rates can be dangerous, as they have the potential to either gradually snowball or suddenly skyrocket.
Look for another company to generate your electricity, even if the initial rate offered is slightly higher.
Can I Save on my Energy Bill While Going Green?
Green energy suppliers are available primarily in deregulated electricity markets.
Though affordability will vary.
Which States Have Deregulated Markets?
Now that you know what to look for, you might shop around to save on your utility costs.
check that youre getting the best rates by checking the deregulated energy markets in the following states.
The minimum contract length is 12 months.
If PG&E delivers your natural gas, you might check their list ofalternative companiesthat provide residential services.
Connecticut: Electricity
Connecticut allows its residents to choose who generates their electricity with aneasy-to-use online tool.
In other parts of the state, residential customers dont have a choice.
They have to go with their assigned utility provider.
To find out current rates as a CFG customer, youll have tocontact each provider.
Georgia: Natural Gas
Georgia is the same deal as Florida.
you could choose who sources your natural gas but only if youre currently served by Atlanta Gas Light Company.
You will need to check current rates with eachcertified marketer.
If NIPSCO is your natural gas supplier, you are eligible for theresidential CHOICE program.
And to make it qualify for state deregulation, the utility must not serve more than 2,000 people.
From there, the utility must opt to offer a choice program.
At least for the time being.
The end date is still undergoing back and forth through legal proceedings, but for right now its open.
So shop around while you still can!
The search process is organized by service area on theBoard of Public Utilities website.
Both electricity and natural gas markets are deregulated.
it’s possible for you to shop for the best electric utility company usingPAPowerSwitch.
Natural gas suppliers can be compared usingPAGasSwitch.
To do so, they will have to contact each individual companylisted by the state.
The program is closed to new customers the rest of the year.
Does This Mean I Can Stop Obsessing Over My Hot Water Heater?
Lets say you established some good energy-savings habits.
You purchased Energy Star appliances.
Youve been careful to use the cold water setting when using your washing machine.
Youll get optimal savings by both continuing thosecost-saving measuresand comparison shopping utility companies.
Paying less while using less is the equation that lands you with the absolute cheapest monthly utility bill.
She is a regular contributor to The Penny Hoarder.
Brynne Conroy is a contributor to The Penny Hoarder.
(Can you sense my millennial sarcasm there?)
You know which ones were talking about: rent, utilities, cell phone bill, insurance, groceries…
