Common Questions About Energy Procurement

Below are a list of some of the most common questions asked about procuring energy. If you do not see your question listed, submit it to us by e-mail or call us to speak to a RJT Energy Specialist.

What does energy deregulation mean? 
How does the deregulation of energy work for your business? 
Is there a risk involved in switching energy companies?
What is Energy Analysis and Economic Modeling?
What is Energy Aggregation? 
What are the benefits of Energy Aggregation for your business?
How do I get started?

What does energy deregulation mean?

Today, there are 22 states involved in some form of energy deregulation program. Many other states have introduced deregulation legislation. Prior to deregulation, customers were forced to buy electricity and natural gas from local utilities that monopolized the energy industry. Deregulation promotes competition by allowing individuals and companies to choose their energy service companies (ESCOs) from a variety of energy supply sources. This competition leads to lower natural gas and electricity rates and increases the level of customer service because energy companies are now competing for your business.

[ back to top ]

How does the deregulation of energy work for your business?

Your energy service is broken into three distinctive parts.

  1. Suppliers – the energy companies responsible for selling you, the customer, the energy product.
  2. Transportation and Distribution Centers – the companies that are responsible for transporting the energy supply from its source to the receiving station of the utilities.
  3. Local Distribution Center – the utility that delivers the electricity by wires and natural gas via pipes to your home or business.

We specifically work with the suppliers to secure the best possible rates.

[ back to top ]

Is there a risk involved in switching energy companies?

No, your local utility company is responsible for delivering the electricity and natural gas to your business. They maintain the lines and pipes, read your meter, gauge your energy usage, and quickly respond to emergencies and outages no matter what ESCO you decide to use as your energy supplier.

[ back to top ]

What is Energy Analysis and Economic Modeling?

RJT Energy provides detailed energy analysis and energy modeling as it relates to customer end users. Every customer’s usage is unique, RJT provides custom energy solutions to specifically address each of our customer’s needs.

[ back to top ]

What is Energy Aggregation?

Aggregation is the process in which consumers join together to buy electricity or natural gas. Groups such as multiple property owners, healthcare facilities, manufacturers and municipalities can aggregate to purchase energy for the entire group. By purchasing energy in large blocks, aggregated groups may possess greater bargaining power than individual consumers. Each consumer can join or ‘opt in’ to the group program to take advantage of the discounted aggregated price and terms.

[ back to top ]

What are the benefits of Energy Aggregation for your business?

There are two major advantages to an energy aggregation program. First, aggregation can produce savings for members over their current regulated utility rate. The size of a group may be a factor in the ability to negotiate an attractive rate and lower prices for its members. Secondly, and more importantly, rates can be locked in up to three years on natural gas and five years on electricity. This “price protection” advantage is particularly helpful come budget time. At RJT, we currently have a network of over 20 suppliers we work with to offer you the most competitive rate and term. We work for you, not the suppliers.

[ back to top ]

How do you get started?

RJT Energy will gather data from all your business meters or locations involved. This data will include current bills and contact information. Additional information may be needed on a location by location basis. Because RJT Energy works with more suppliers than most, we will use aggregation and competition among our many suppliers as tools to secure the best rates and terms available for your company and its affiliates. In addition, because of our many years of experience with businesses that have multiple locations, we can avoid potential “bumps in the road” during this process. Once we have gathered the data and completed the energy analysis and modeling, we will present to your organization our analysis and term options. We will then help your organization make the best decision, followed by the execution of contracts.

[ back to top ]