Menu

Leave a Message

Thank you for your message. We will be in touch with you shortly.

Power-Grab

Energy and Power are key drivers to all commerce. Powering a home today has become a notable monthly expense. All market pricing is mostly defined by supply and demand and the uptick in demand over the past few years is accelerating dramatically via the needs of the tech industry.

 

At first EV's and electrical appliances were identified as the big driver of growing demand, but their needs pale in comparison to the demands of A.I. and data centers and now there is political push-back. Consumers seeing their electric bills climb are lashing out. When a big tech entity is bidding for the power that defines their commercial survival, they'll be willing to pay lots and they have big, deep coffers, often fueled by taxpayer funded tax breaks to build in their areas which can make taxpayers even more angry. This pushes up the price for local homeowners and businesses, unless that tech entity is creating their own power.

 

The US energy grid is facing increasing challenges from aging infrastructure, extreme weather, rapidly growing demand and the changing mix of energy sources. 43% of electricity in the US is generated via natural gas and the price of natural gas is over 50% higher than it was 12 months ago. Nuclear energy fuels roughly 18.6% of all energy, coal 16.2%, and renewables 21.4%.

 

The average U.S. household consumes about 10,500 to 10,791 kilowatt-hours of electricity per year, about 37% more than 50 years ago, even with LED bulbs and new efficiencies. A Passive House can use as little as a quarter of the energy of an average new construction, with savings of up to 90% for heating and cooling. Areas with big homes often consume dramatically more electricity to power sophisticated and complex systems. Idaho and Washington have lowest electricity costs. 44% comes from hydroelectricity that has an expensive initial infrastructure cost but is much cheaper to operate. Connecticut and Massachusetts's electricity is more than double the cost as it's reliant on natural gas.

 

Businesses often pay lower electricity rates than homes due to greater efficiency in delivery and consumption, a "volume discount" on high energy usage, and negotiated contracts. Large businesses receive power at higher voltages, which reduces transmission losses, and their steady, higher consumption spreads the fixed costs of distribution over more energy. Homeowners often find lower electricity supply rates via 12-month and 24-month fixed rate contracts, often saving around 10% or more, aside from improving insulation and all the other means of making a home more energy efficient. Many home buyers today are evaluating the supply reliability and cost of all utility infrastructure, including water and electricity.

Work With Us

Ken interprets market data, staying in constant communication and offering valuable insight that then translates into an informed decision.

Contact Us