July 2021 - Quarterly Market Letter
On behalf of the team at 5, I am pleased to forward our market letter for the second quarter of...
Clients usually view their utility rates as a static part of their energy expense that cannot be changed because they are governed by local tariffs and approved by each state’s Public Utility Commission. Unfortunately, the limited focus that clients put on utility tariffs overlooks opportunities for unnoticed rate and tariff errors, and negative cost impacts that can last for years. Some issues are caused by human error, including an inaccurate setup for a client’s initial rate class determination. Other issues arise from changes to a client’s load over time without notification to the utility. Larger clients with complicated load profiles should give extra attention to their utility tariffs to ensure accuracy and to consider alternatives when possible.
There are a surprising number of clients that benefit from a tariff analysis completed by a seasoned group of analysts. By leveraging the diverse backgrounds of 5’s team, including experience in pricing, contracting, rate creation, tariff writing, billing, and engineering, clients gain visibility into tariff-related issues and opportunities. After a tariff review is presented to the client, 5 also works with that client’s utility to ensure satisfactory completion of any next steps, whether correcting an issue or capitalizing on an opportunity.
Contact Us to learn more about how our tariff analysis fits into a customized Whole Health Energy Plan for your business.