Looking for business electricity to power your New York business? We’ll teach you the basics of New York Power to Choose and electricity deregulation, how to compare NY business electricity rates, and the benefits of switching.
New York Power to Choose – Deregulation Basics
No matter what size your company is, you could save on your electricity bill by shopping for your business electricity supply.
New York businesses got the power to choose their electricity supply in 1996. Under deregulation, the NY Public Service Commission (PSC) still maintains oversight of the local utilities, and approves utility rates for both energy supply and delivery. The PSC also licenses New York alternative electricity suppliers, known as Energy Service Companies, or ESCOs.
You have two options for your business electricity supply in New York. You can choose to buy your electricity supply from an ESCO, at a competitive rate. Or you can continue to buy electricity from your local utility company, under the default service rate.
With the utility default service (also known as the price to compare) your rate can change throughout the year. Sometimes it will go up, sometimes it will go down. And the only certainty you have? Is that you have no control over your rate if you stay with the utility.
That’s why many New York commercial and industrial electricity customers have switched to one of the commercial electricity suppliers in the state.
Here are some of the FAQs on electricity shopping in New York:
According to the New York State Department of Public Service, as of December 2019, 70% of all Large Business accounts (Non-Res LG TOU) and 31% of all Small Business accounts (Non-Res SM & ST LGT) have switched to an ESCO.
These business represent the majority of business electricity load in New York, totaling 68% of the total commercial electricity load in New York. The large businesses that have switched are 77% of all large business load. The small businesses that have switched represent 62% of all small business load in the state.
Source: December 2019 Electric Migration Year End Summary
According to the EIA, the average New York commercial electricity rate is 13.33¢/kWh based on March 2020 data. That’s 28% above the national average. And it’s why it’s important to shop for your business electricity to get the best commercial rate.
The best way to compare residential electricity prices in New York is the state-run shopping site, NYS Power to Choose. This site lists choices for electricity rates for your New York home.
You can’t shop for commercial electricity on the New York Power to Choose site. ElectricityPlans.com can help you shop and compare business electricity rates in New York.
How to Choose A Business Electricity Supplier in New York
Now on to the main event: how to choose a business electricity supplier in New York.
It’s hard to shop for business electricity on your own.
First, you have to find a list of the ESCOs that work with non-residential rates. (We finally found the list after a lengthy online search.) There are 172 business electricity suppliers to choose from.
You’ll need to contact the ESCOs to get quotes for your electricity service. Then read over all the contracts and find the hidden gotchas. Once you’ve picked a provider, you’ll need to request an updated energy price (because energy prices change constantly.) All while running your business.
That’s why it’s hard to shop for a commercial electricity supplier in New York. And it’s where we come in.
We simplify your New York business electricity shopping and handle it for you.
- We’ve teamed with a large national broker to offer you excellent service and access to suppliers that we’ve reviewed.
- Your energy advisor will talk to you to understand your electricity usage and utility rate schedule.
- We’ll work to understand any future growth plans you have, since changes in your operation could impact your rate options.
- Then we’ll pull a copy of your historical electricity usage from the utility. We’ll start shopping the multiple business electricity options from our suppliers.
- We’ll present you with options for your business electricity supply. You’ll get quotes from multiple providers for rates and terms. And you’ll get guidance from us on what way to go.
- And once you’ve picked a commercial electricity supplier, we’ll stay in touch to manage your renewal.
To get started call us toll-free at 844-814-5559. Or if you prefer, complete our business electricity quote request form.
Will I Save Money vs. The Price to Compare in New York?
The price to compare is different for each business. It’s impacted by your utility, your rate class (assigned by the utility) and your level of demand. Large businesses may even have an hourly rate.
How much you can save will depend on your specific business.
That’s why it’s best to work with a dedicated energy advisor to shop electricity rates.
Our staff of retail energy experts will take a look at your rate class, your historical energy usage and your goals. Then we’ll make recommendations and guide you through the switching process.
What New York Electric Utilities are Deregulated?
Most areas of New York are deregulated, and you can choose an ESCO to supply electricity for your business.
Your utility will continue to respond in case of an electrical emergency, manage the poles and wires in your area, and handle any service outages. They are also who to call if you need to set up a new electricity meter for your business.
Here are the deregulated utilities in New York, the areas they serve, and their phone numbers:
| New York Utility | Area Served | Phone Number |
|---|---|---|
| Central Hudson | Mid-Hudson River Valley | 1-800-527-2714 |
| ConEdison (ConEd) | New York City & Westchester County | 1-800-752-6633 |
| PSEG | Long Island | 1-800-436-7734 |
| NYSEG | Central, Eastern and Western New York | 1-800-572-1111 |
| National Grid | Northern and Easter New York | 1-800-322-3223 |
| Orange & Rockland | Orange, Rockland and Sullivan County | 1-877-434-4100 |
| Rochester Gas & Electric | City of Rochester and surrounding counties | 1-800-743-2110 |
What are the Benefits of the Power to Choose for New York Businesses?
You have the power to choose an electricity provider for your New York business. But should you? Yes, if these things are important to you:
- Savings — Compare your standard service rate to the price per kWh from a competitive ESCO. If you can lock in a price that’s lower than the local utility, do it!
- Security — The utility rates change at least twice a year. You never know what’s coming, and you can’t control the rates. When you lock in a fixed rate plan with an ESCO, you can budget and plan ahead.
- Options — You can choose a 100% green energy option, and a short or long term plan.
We typically recommend a fixed rate plan, and the benefits above assume that.
Larger businesses may also have the option of a Block & Index plan. This lets you lock in a percentage of your electricity costs on a fixed rate plan, with the remainder floating with market prices until you lock in. This strategy is followed by larger New York businesses with full time energy managers.
Variable rate plans are also available in New York. You have the benefit of being able to cancel your agreement at any time. However, your rate will change monthly, often with very little notice.
Shopping for an electricity supplier to get the best fixed rate plan for your business is the way to go in New York. Let us help!