President Biden proposes to spend more money on clean energy than any other administration in US history through his infrastructure plan. Should the plan win passage as it stands now, businesses and utilities will be able to better employ tax incentives for clean energy.
The energy landscape has undergone significant changes over the past decade, particularly with the rise of natural gas as a preferred fuel source for electricity generation. Stricter air pollution standards, the advent of more efficient natural gas power plants, and advancements in natural gas drilling methods, such as fracking, have all contributed to its prominence.
Electricity consumption efficiency is not just about reducing usage; it’s also about how effectively you’re using the power that’s delivered to you. This is where ‘power factor’ comes into play. An ideal power factor is 1 or 100%, indicating maximum efficiency. Power factor is the ratio between kW (kilowatts – the actual load) and kVA (kilovolt-amps – the apparent load or what is delivered to your location before consumption).
Critics of competitive energy markets often cite average price as the sole metric of their efficacy. However, a range of indirect factors offers a clearer insight into the true value these markets provide. Competitive energy markets empower businesses with the autonomy to tailor their energy procurement to their strategic plans. Companies can lock in energy prices for the future, select their level of price risk exposure, and enjoy the financial benefits of efficient operational practices.
Energy contracts are commitment-based; when you sign with a supplier, you agree to consume a specified amount of energy over the contract’s duration. These are known as “obligation contracts,” meaning the buyer is bound to the agreed usage.
Navigate the complexities of deregulated energy markets with precision through our comprehensive guide. Emphasizing the indispensable role of Energy Consultants, our guide advocates for a strategic approach to energy procurement that transcends mere cost savings, promoting a holistic alignment with your organizational objectives.
