Restructuring is when the government reduces its role and removes a monopoly in an industry, giving greater freedom to the Customer. Instead of having one protected entity serving all customers, you have multiple providers giving customers the power to choose what works best for you.
Your utility company today still plays an important role. Utilities are responsible for the maintenance of the lines, poles, and wires that deliver your power; they still read your meter and send you a bill, and they are responsible for restoring power in the event of an outage. Regardless of who you choose as a provider, you will still do business with your local utility.
Choice is what Restructuring is all about. You can choose your electricity provider, the rate structure that provider serves you under, the length of your agreement with that provider, and the terms of your agreement with that provider. By empowering consumers to select from multiple providers, Restructuring allows the well-informed and properly advised customer access to more innovative products and services and more competitive rates.
Today, there are two ways to lower your electric bill:
- Negotiate a better solution and rate.
- Use Less Power.
Although this sounds simple, without the proper expertise and advice, neither option is really an option. Mint Energy can help you understand both options and to make sure you maximize your desired outcome.
How Electricity Works
Prior to electric Restructuring, one company served all aspects of your power. Today, Generation, Transmission and Distribution, and Retail Power are all managed by separate companies.
How Power Flows
- Electricity is generated and leaves the power plant.
- Its voltage is increased at a “step-up” substation.
- The energy travels along a transmission line to the area where the power is needed.
- Once there, the voltage is decreased or “stepped-down,” at another substation.
- A distribution power line carries the electricity.
- Electricity reaches your home or business.
Power generation companies sell this power at wholesale to Certified Retail Electricity Service (CRES) Providers, who provide the power for sale to retail customers.
The actual delivery of the electricity is still provided by your local Transmission and Electric Distribution Utility (EDU), also known as the “wires company” or “Utility”. EDU’s are responsible for
- Maintaining the poles, wires, and meters.
- Reading your meter and providing that information to the CRES provider of your choice.
- Sending your bill, including the CRES charges.
- Restoring service when there is a power outage.
You have the ability to choose CRES Providers. They sell electricity and compete for your business by offering a variety of different pricing options, renewable energy, added customer service benefits, or other incentives.