Tips to choosing a new electricity supplier

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Residents have enjoyed the benefits of electricity deregulation since the early 1990’s. Before this, electricity suppliers are set in place, forcing residents to pay set prices for their energy without the ability to choose which suppliers are able to offer them a better deal. With the deregulation in place, suppliers are competing against each other to attract customers, putting the customer in control and enabling them to find the best deals to meet their monthly budget. There are a number of important factors to take into consideration when choosing a new supplier for your electricity supply. The advantages are that you have the power to choose, finding a supplier that can give you the best prices to meet your needs.

0nline electricity bill

You also enjoy the ability to switch suppliers without a disruption in your power and you still receive one bill with the separate charges clearly defined, so you can see what you are paying and how much you are saving. One of the first decisions you are going to have to make when choosing electricity suppliers is to find if you want to pay a fixed or variable rate. Fixed rates are easier to understand and budget for. You pay the same rate for usage whether the strømpriser raise or fall, with variable you enjoy bigger savings when energy prices are low, but at the same time the prices can increase, where you could end up paying more than if you had chosen a fixed rate. This is down to personal preference, but if you want to have control and understand your energy, then a fixed rate is the easiest solution to help you manage your energy bill payments easily and effectively.

Always make sure before making any decisions that your current energy contract is over or up for renewal. Some companies charge an early termination fee and it is possible the fee will price you more than the savings you could enjoy by choosing a new electricity supplier. Ensure you speak to your current company, find when your contract ends and decide how much their termination fee is that you will have to pay if you still have time left on your contract. From here find your annual savings if you switch suppliers now and offset that against the termination fee. It is possible you could still save by cancelling your contract now and switching electricity suppliers. Bear in mind when reviewing the electricity suppliers that if you choose variable rates it is possible they can increase by up to twenty-five percent without prior notice. Variable rates should only be chosen if you do not have a set budget and you want feel you could save more by choosing a rate that fluctuates based on how much your supplier pays for the energy you are using.