Reverse energy auctions work differently than traditional Buyers’ auctions. In reverse energy auctions, the goal of the energy Sellers is to bid the price down.
When we introduce competition into the bidding process, electricity suppliers must come to the auction with their best pricing.
An auction is set up with your terms. We will invite most (if not all) of the energy suppliers available to you to participate in the auction. They will bid directly against each other (electronically) during a pre-specified bidding period. The lowest priced bidder wins, ensuring that you get the best possible deal for electricity costs, with the least amount of time and effort.
If you choose to, you can witness the auction live on your computer screen. You will receive a contract from the winning (lowest) bidder immediately after the close of the auction. You will be under no obligation to sign; however, the winning bid is only good for that day.
The final, winning bid price in the auction will be 10-20% lower than a bid obtained in other ways (such as an RFP).
Who Qualifies for Reverse Energy Auctions?
To qualify for an auction, you organization must be in a deregulated state. Therefore, this program is only available in the following locations:
- New Jersey
- New Hampshire
- New York
- Rhode Island
- Washington, D.C.
Additionally, your organization must use at least 1 million kilowatts of electricity annually, in one or more locations in a deregulated state. Also, your organization cannot currently be under contract unless there are six or fewer months remaining on your contract.
In order to begin setting up your auction, all we need is your organization’s latest energy bill.
Reverse Energy Auctions begin with a phone call. Request a phone call today.