Electricity - Nania

EIA updates its projection for ’25 US NG prices to $4.20/Dth, a 33% increase in its projections from just the 1st of the year.

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NEWSLETTER

ELECTRICITY

What are the sources of electricity generation?

COAL

16%

NATURAL GAS

43%

Renewable sources

21%

Nuclear

18%

Your Electricity Cost Is Made Up of Five Components

1. SUPPLY

Raw cost to generate electricity at the source.

2. CAPACITY

The cost of reserving generation space on the network (in certain markets). This is a pooled utility charge that is used to operate the national grid during high usage and is dependent on the current market.

3. TRANSMISSION

Costs associated with the transportation of electricity from the generating station to the distribution system. This is the cost to operate the RTO and the regional grid.

4. Losses

The amount of energy (primarily heat) burned off between generation and final delivery to the client.

5. ANCILLARIES

Administrative costs associated with overseeing the markets and supporting transmission services. Several charges within ancillaries are combined into one general fund.

Factors that impact your price

DEMAND

Limiting your hourly energy demand can reduce many components of your energy rate.

COMPONENTS

You can choose to pass through any components that you would not like to include in your fixed rate. The two components that clients most commonly pass through are capacity and transmission.