After the holidays many were anticipating a large drop in electricity prices not to mention gas prices. We did see a drop but not by very much. As consumers hold off on buying more energy they roll the dice anticipating that prices and rates will continue to go down. Unfortunately there is just no way to know if prices will go up or down. Speculating about the price of natural gas or electricity is like speculating about whether the stock price of google will be higher in two weeks then where it is at now. No one can really say if energy prices will go up or down in the short term with any certainty. If they could say this, they would be very wealthy people.
If your concerned about locking in at a bad rate then just sign up short term and have the contract expire during a time in the year where energy is not as in demand and hope rates will go down because of surpluses. This is the most optimistic outlook although there are many other factors that effect electricity prices then just the weather.Â
In summary, the best way to buy electricity is find the lowest rate at the time you need it at the best priced term. Right now a 12 month term has the best rates.
