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Electricity Purchasing Options Part 1: What is an Index Plus Block Solution?

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We designed the “Index Plus Block Solution” for customers who want the flexibility that comes with taking an active role in managing energy costs and who have a higher risk tolerance for the volatility of electricity market prices.

With the Index Plus Block option, you can pursue electricity purchases using both fixed and index rates. “Block” quantities of electricity are purchased for a fixed price. For any additional electricity consumed beyond the specified block quantity, you will pay hourly (or in some markets, sub-hourly) “index” or market-based retail prices.  

For an example, see the screen shot below…
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What Drives Your Monthly Electricity Costs?

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When you receive your monthly electric bill, do you look at anything other than the total? If so, you’re not alone.

Among the many line items that may appear, understanding the “when and how” of your electricity consumption is helpful in evaluating what may drive usage related costs.

The screen shot below, extracted from the Constellation NewEnergy Online tool, provides an example of a customer’s interval energy consumption, reflecting customer demand (how much electricity a customer is using across all of its interval meters at one point in time) within a certain period.

[caption id=”attachment_1579″ align=”alignleft”…
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