As spring approaches, so does that never-ending line of companies wanting to sell natural gas or electricity for next year. It seems like every year more and more companies “pop-up.”
Michigan Schools Energy Cooperative (MISEC) has recently been made aware of an electric supplier approaching schools offering them pricing that is 30%-40% below the prevailing utility rates. This presentation and the pricing used are not indicative of the real market. There are also many other “errors” in these presentations that make districts think that they are going to get a great deal if they sign up. In reality, what is being offered is a month-to-month price that is based off of an index that they determine.
In addition, that electric supplier is offering a variable or month-to-month price. This might be attractive in yesterday’s energy market, yet most experts agree that the era of low energy prices are behind us and that we will begin to see a steady increase in prices during 2010 and beyond. This, coupled with the fact that schools value budget certainty, should make this variable, or unknown future price unattractive.
MISEC will answer any questions school districts might have regarding energy rates. Negotiating the best price for electricity or natural gas in today's deregulated environment is a time-consuming and complex task. MISEC’s energy purchasing service is designed to save Michigan’s K-12 community money as well as unburdening you from having to figure out which of the price components, rates, and plans best fit the needs of your district. For more information, contact Jan Rogers, MISEC Client Energy Manager at 888.345.0440 ext. 26.
Remember, MISEC is a non-profit, which was organized in 1997 by MSBO, MASA, MAISA, MASB and MCEA. MISEC's purpose is to aggregate the state's individual school districts in order to provide a reliable supply of natural gas and electricity at the lowest possible cost.