The Virgin Islands, in fact, has some of the world’s most expensive electricity precisely because it doesn't have the means to diversify its energy portfolio. The territory depends entirely on imported crude oil to run its petroleum power plants, and as a result, its energy goes for between 50.8 and 54.8 cents per kWh as of last year. This business-repelling price far exceeds that of countries whose energy is considered steep compared to the U.S. average, namely, Denmark ($0.41 cents per kWh), Germany ($0.35), Spain ($0.30), Australia ($0.29) and Italy ($0.28). This year the Virgin Islands has tried to reel in businesses with substantial tax breaks, but the savings might not be enough to offset the eye-popping electricity bill.
It all starts with the power generators – the companies who produce electricity to sell on the wholesale market. The electricity providers purchase the rights to large volumes of this electricity from the generators on the wholesale market and then turn around and sell it to their retail customers. The electricity providers market the sale of electricity to the public through various offerings of electricity plans that include everything from classic fixed-rate electricity, to 100% green electricity, to bundled products that have incentives such as a Nest Learning Thermostat™ or Visa gift cards.
We carefully screen Texas electricity providers in your area. Then, we list electricity rates and plans from top providers in a user-friendly format on our website, so you can compare the information. We handle the complex concerns and considerations, so you don’t have to. With our assistance, you no longer need to track down different electricity companies, rates, and plans, because we provide all the information you need to choose the best provider.
Power generation projects, which have to sell their power to these bankrupt utilities, require creative financing structures to get around these problems. In a bid to reduce their risk when financing these projects, bankers employ financial tools like put call options agreement or World Bank partial risk guarantees. The problem is these tools add complexity and cost which end up being passed on to the end-user or worsen the financial state of the power utility.
Variable – This type of rate plan would be ideal to renters and people who don’t want to sign long-term Wichita Falls electricity contracts. Variable-rate supply plans skip those long contract terms and usually do not have a cancellation fee. With this type of plan, you’d have a rate per kWh that could vary month to month. This means that the rate you pay each month could be different than the last. While you can possibly take advantage of market price lows, you’d run the risk of paying high market price rates too.