Low Electric Rates in PSEG
Electric choice is becoming ruthless for New Jersey electricity companies as competitive electricity prices continue to fall for PSEG power customers. It is hard to argue against 17% savings, which is what current (Summer 2011) low electric rates in PSEG are yielding for customers who have switched off of default rates and onto alternative electricity offers.
Electricity choice in the PSEG area is still relatively new. Though New Jersey has been an energy choice for some years now, competitive electricity offers were not offered to residential customers until several months ago. Savings were small at first, but with the PSEG BGS (default) rates recently increasing and wholesale rates remaining low, competitive electric companies have been able to offer attractive electricity prices.
PSEG energy serves over 2.1 million electricity customers in New Jersey, including major suburb cities of New York City and Philadelphia. Customers can be reassured that selecting a low electric rate from a alternative supplier will not upset PSEG or end the business relationship. PSEG is in the business of delivering power, and they continue to charge regulated rates to all of their customers for this service. They also continue to send their customers the monthly electric bill. The generation default rate (Basic Generation Service) that customers pay with PSEG is passed through to competitive electricity companies who have won auctions for the right to service default paying customers. Believe it or not, even if you haven’t selected a competitive supplier, you are already paying a competitive supplier through default service. This is how the BPU of New Jersey decided to structure the NJ Energy Choice Laws.
Electricity competition is working in PSEG because customers can choose from a variety of electric suppliers at electricity prices that are lower than default rates.
The Lowest Electric Rates for PSEG Customers: