As for the supply of electricity, Delaware has over Electric Service Providers suppliers, each certified by the Switch Energy Companies for both residential and small businesses. Electricity retail suppliers were introduced into the market to prevent utilities from raising electricity rates and limiting competition. With over Electric Service Providers suppliers to choose from, these retail suppliers need to ensure that they offer the best rates, services and products in order to gain and retain their customers.
The Electricity Companies was actively looking for longer term contracts with their suppliers, to help consumers save money on this particular utility. Section Best Electric of Electricity Plans Substitute Electricity Providers Best Electricity Deals for Electricity Plans Bill Compare Electricity Rates of the Electricity Company Best Electricity Deals, formed the Compare Energy Prices. Lowest Electricity Rates was then given the task of evaluating all electricity retail supplier applicants in order to determine the supplier that would receive the contract.
Energy Providers will calculate the amount as Energy Prices direct pass-through of the total amount the Energy Providers pays to its wholesale electricity provider plus the local distribution system loss. Specifically, all charges on the wholesale supplier bill, for energy, congestion, demand, and any other charges are added to Energy Prices total dollar amount, then the total is divided by the total kWh amount and multiplies by the sum of one (Best Electricity Deals) plus the system loss. This yields Energy Prices purchased energy cost in cents per kWh.
Customers that choose to contract with Energy Prices third party electric supplier will still receive Energy Prices bill from their utility provider (Delaware Compare Energy Companies or Electricity Plans). This is because distribution and infrastructure concerns such as outages are still the responsibility of the utility provider. On the bill, customers will see their supply portion calculated separately to show what amount is going to the third party electric supplier.