Thanks to a flood of natural gas supply into the market, the price of power has fallen by two-thirds since 2008, according to Bloomberg News. So why do utility bills keep increasing?
When your utility bill arrives each month, you can’t help but think how much cheaper it was 5 or 10 years ago. Unlike other commodities, energy has many costly factors. For New Yorkers and residents of most other large cities, old infrastructure is a big reason for the price hike. The cost of replacing old lines is time-consuming and expensive. Most were built before 1980, and an astonishing 42% will need to be replaced within the next 30 years. By then, the rest will need replacing as well. After the decade long waiting period for approvals and signatures, the costs to prevent outages will keep coming.
New Yorkers additionally pay about 60% more for electricity than most other Americans, with at least a quarter of those costs going directly to taxes and fees. In short, when it comes to our energy future, the writing is on the wall. We will continue to see utility prices rise for the next 30 years plus.
What Can Homeowners Do
Thankfully, many states—including Pennsylvania, Maryland, New Jersey, and New York—have de-regulated energy programs. Homeowners are now given the freedom to choose where their electricity comes from and at what price. New advancements in technology have also brought benefits like fixed-rate pricing and renewable sources, both distinct advantages versus your local utility company. Hidden fees such as peak usage charges are eliminated when you switch, and you can rest easy knowing exactly what your rate will be each month.
Beat the Market
Finally, for homeowners with an eye towards the future, there’s no better way to cut down on energy expenses than making the switch to solar. With the potential to offset college tuition, new cars, home improvements, and even vacations, solar is the smart way to plan ahead. Not only does solar require zero upfront investment; it actually earns you money in savings each month for 20+ years. Switching to solar is simple and requires virtually no effort to reap the benefits. The panels installed on your roof will guarantee you a lower monthly bill than your utility rate, at a fixed rate, for the entire life of the system.
With options like purchase, loan, or lease, you decide how much money you want to save. Like all technological progress, advancements in solar have dropped the cost of panels and installation while increasing efficiency and reliability. Incentives like state and federal tax credits make going solar even easier and more cost-effective, so you can put those earnings towards family, leisure, or any other investments.
Get a free custom solar proposal today, see what panels look like on your roof, and learn how much you can save!