Submitted by NoBarracuda2508 t3_zrnzty in Connecticut
Comments
WonderChopstix t1_j13yyyh wrote
I never tracked it that closely. Have rates ever gone down? I only recall it ever going in 1 direction. Why would rates go down in summer when demand is higher for AC? Just curious
TywinShitsGold t1_j1440b4 wrote
Less demand for heat.
WonderChopstix t1_j145o1n wrote
Interesting. I'd think most heat is oil or gas and altho it takes some electricity not nearly as much as AC.
TywinShitsGold t1_j14a8u8 wrote
It’s a commodity that spikes with global demand. Much of the North East uses oil for heat, but that’s fairly unique. Electric rates are tied to NG commodity pricing because more than a quarter of the US’s power generation is has based.
NG is 34% of Europe’s power generation as well. And New England is fairly tied into the European NG market due to reduced pipeline capacity and the Jones act.
NG essentially always spikes through winter and comes back down in spring. It’s just not usually this severe.
Globally not as many markets are as air conditioned as the US, so even if AC is more demanding, the demand isn’t equal across the northern hemisphere.
WonderChopstix t1_j14b8qe wrote
Makes sense! Thanks for the explanation. I am kind if kicking myself for not thinking this through but that is what lack of sleep will do !
megapeptobismol t1_j13zljj wrote
Thank you. I am going to be checking rates a lot now.
BryanCalens2ndFamily t1_j160tmc wrote
It says it can take 1-2 billing cycles to take effect that’s kinda bummer
NoBarracuda2508 OP t1_j13ydbx wrote
Main takeaway is that prices will go down from where they are now, so keep shopping in the spring and summer, even if you think you got a good deal. And even if you signed a three year contract, you can cancel without penalties. So if you find a better deal later on, just cancel your current contract and switch to that.