What is regulation?
In certain areas across North America, energy prices remain regulated. This means that all energy providing processes including pricing are governed by a regulatory or government body, with only the local utility able to sell directly to consumers. The utility or government set the prices for natural gas and electricity supply, along with the associated transportation and distribution costs associated with those commodities. Consumers therefore have no choice when it comes to their energy provider.
What is deregulation?
Deregulation has taken place in many states and provinces throughout North America. It has allowed competitive energy suppliers, such as Just Energy, to enter the markets and offer their energy supply products to consumers. Energy prices are not regulated in these areas and consumers are not forced to receive supply from their utility. In deregulated markets, consumers can choose their supplier, similar to other common household service providers. The marketing of these services is still regulated.
Why is deregulation important?
Deregulation gives consumers choice – the power of the buyer. A deregulated market allows you to choose your commodity supplier. It also motivates retailers to differentiate their products from the utility and those of competitors by developing innovative features, pricing plans and options that would have otherwise not been available to you. Green energy products are an example of innovative programs made possible by retailers like Just Energy. In deregulated electricity markets, these products support the generation and injection of renewable energy into the electricity grid, making it greener than it otherwise would have been. In a deregulated natural gas market, these green products support emission reduction projects that prevent polluting gases from entering the atmosphere and help contribute to a cleaner, greener environment.
What does it mean for you?
The utility is still responsible for the distribution of the commodity to your home regardless of the supplier you choose. The supply price however is not set by that same utility. Depending on where you live, you may continue to be billed by your utility with a mention of your supplier, or be billed directly by your supplier.
You now have options to choose your provider, like Just Energy, to offer competitive pricing.
With more competition in the market, you benefit from a variety of product options that may have otherwise not been available to you, including JustGreen, which ensures that the equivalent of up to 100% of the energy you consume is offset by sustainable energy sources.
No service interruptions
Although your natural gas and/or electricity supply will be coming from a new source, your local utility/distribution company will continue to ensure the consistent delivery of the energy to your home.