In order to find the lowest electricity prices, it is important to compare all aspects of offers. A common way for an energy company to sneak in an extra charge is by having a higher meter charge. For a residential customer who uses 1,000 kilowatt hour a month, a $10 monthly meter charge is equivalent to a whole extra penny per kilowatt hour. So a fixed electricity rate offer of $0.09 with no meter charge would be better than an offer of $0.082 with a $10 meter charge. Be sure to review the contracts to make sure you are getting the lowest electricity price.
When comparing electricity offers customers should also be weary of whether or not the rate offered will be fixed or will fluctuate. It is easy for a company to offer a low one month introduction rate that will then increase substantially. Many times it is better to go with a rate that is slightly higher that will be locked in and guaranteed for a whole year.
Business electricity customers have a whole other set of possible traps to be concerned about. Their electricity rate offers should include the energy commodity component as well as transmission (in some markets) and capacity charges. Sometimes energy companies will keep some of these charges separate from the energy commodity in order to appear like their rate in lower than their competitors when in reality it is higher.