Ultimately, part of me wants to agree with the sentiment that these fixed-rate terms wouldn't be offered if the company didn't expect to make a profit off them. The one real hesitation of mine, is that the terms are things like 5 years. It's a gamble on the part of both the consumer and the energy companies; the consumer is expecting rates to rise and thus wants to lock in; the energy companies must thus be not expecting rate to rise over a 5 year period.
But part of me is looking at my >$200 monthly utilities bill, and then hearing the analysts say how reserves are low and thus prices are expected to rise or even double in the fall (timing to corresponding to the increase in demand), and then saying "oh, crap, I can't afford to keep this hobby up, at the level I'm currently doing so."
I don't know what to do ... frankly I'm scared to lock myself into a 5-year plan because I'm sure it wouldn't be offered to me, if the company didn't intend to make money off the deal, but those projected rates are a cause for concern for me..
On the other hand, when Epcor first came to town, I looked into the terms they were offering for THEIR fixed rates plans .... and I am sooo glad I didn't take that, because the rates fell shortly afterwards, quite significantly...
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-- Tony
My next hobby will be flooding my basement while repeatedly banging my head against a brick wall and tearing up $100 bills. Whee!
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