Natural Gas Has Risen Fast
< Natural gas has risen fast and furious the last couple of weeks although electric rates have maintained themselves in a moderate mid 8 cents a kWh range. Because Texas relies upon natural gas in their electric generation plants we have to track natural gas to get an idea on why electric rates go up. There is actually a 90% correlation with the price of natural gas and that of electricity.
No Need To Be An Energy Expert
You don’t have to be an energy expert to go out to www.nymex.com and see what natural gas is doing. Pay attention sometime and then check back a few months later. If you see natural gas go down a substantial amount you can bet electric rates are doing the same thing. This is a good way to keep track of your electric rate and when you feel it would be a good time to blend and extend your energy contract you should call your energy provider and see about this blend and extend option. This extension option is only available to commercial and industrial energy users. If you are a residential user you can look at this as an opportunity to sign up again out on a future date when your contract expires if you notice a dramatic shift downward with natural gas prices.