12 Reasons Why Your Electric Bill Must Increase
If your somewhat happy with your current electric bill, it may be short lived. There are many changes going on with the electrical system around the country that will add up to much higher rates. Although gas and oil prices are far lower than they have been in over a decade, the Electric Industry is having their own problems.
To begin with, the Environmental Protection Agency would like us to have cleaner air to breath. To see that this will happen, coal fired generation plants are shutting down all across the country because they are unable to comply with the clean air mandates.
Next, most of the Electric Transmission and Distribution systems across the nation are over 50 years old. Some companies are already spending big money on system redevelopement. In addition to this, new transmission lines will be added to bring in additional power to areas where coal generation will no longer produce the power. FirstEnergy is currently investing $1.2 billion a year alone on their transmission system.
Another expense the power companies will have is for the installation needed for the gas powered Electric Generation plants that will need to be built. These will be used to keep up with current demand as a result from the shortages coal fired plants used to supply that are now currently being dismantled, and during increased peak demand,
Additionally, the power companies also have the American consumer to contend with. Since the early 2000’s, more and more consumers are buying energy efficient home appliances. In addition to this, they are making their homes more energy efficient to save money on lighting, heating and cooling expenses. When you throw in a slow economy and the fact that most people are cutting back on their energy use, this has taken a sizable bite out of their revenue stream.
So you can see that from just a handful of examples that there are some real challenges in a industry where the growth potential does not really exist any longer. Electric companies are now in a position of just trying to maintain the current system. And when you throw a severe weather storm in there from time to time, the repair bill can add up quickly. But where is the needed revenue to cover just these expenses they are facing going to come from? From YOU!!
Now, we have covered about a half dozen reasons why your electric prices must go up in the years to come. Electric Companies have historically been very good to investors. The dividends they have paid to investors, on average, have been well above most stock companies over the years. They will need more revenue to meet the challenges they face and keep their investors happy. For the reasons listed above, and an additional list you need to be concerned about, there is a free report put out by the Edison Electric Institute that was published in January of 2013 that addresses these and other disruptions at:
http://www.eei.org/ourissues/finance/Documents/disruptivechallenges.pdf
Brightspot Energy Solutions will help you prepare for the inevitable price increases with the latest and best technology available, with the lowest cost solutions. Most homes currently lose up to 50% of their energy just in the manner by which they were built. We can help you find the real cause of your homes energy waste and help you reduce your energy use by as much as 70%. We can even show you how to get free electric and perhaps eliminate your electric bill. In addition, your home will be much more comfortable in both winter and summer. Many issues we find with your home are easy enough that you can correct them yourself. And the best part is you will be better prepared when the rate hikes start affecting your budget. Make that call today for a free consultation and learn how inexpensive your preparations can be.