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  ENERGY DEREGULATION

General Info.

The electric and natural gas bill is in 3 parts, first the supply, second the distribution and third the taxes.

The supply portion of your bill is close to 75% of your bill and the remaining 25% is of distribution and taxes.

 

The supply portion of the bill is the only part that changes as the local utility company still does maintenance and billing. If you can lower the supply portion of your bill, you can lower your entire energy bill by up to 20%.

 

Deregulation of an industry rarely happens and this happened with telecom business in 1984 and the airline business in 1979. While no for sure recommendation is guaranteed, those interested, can choose to create a business.

 

There are many companies such as 5Linx, Ampegy, North American Power, Veridian, Xoom Energy, Ignite, Ambit, Independence Alliance and the new list grows on.

 

Working with such companies’ one must be sharp in understanding the actual residual income from energy sales, the energy footprint, the business model, a direct vs. reseller, and the compensation plan.

 

Residual income from energy sales is an important not only if one is building a network and leverage building a team or network, but even those who just want to make energy sales without making a team to leverage income from. The other consideration regarding residual income from energy sales is that one may want to get paid on the usage and not off the bill, the usage being always a larger number than the bill itself. With some companies when you develop a network they cut you off from the residuals down below, especially when it comes to business energy sales.

 

Energy footprint or the territory that the company can do business in is another extremely important issue when you are considering the energy deregulation business opportunity. It is important because the more territory, the more of your contacts will serve and fall into your business region.

 

Business model: You can appoint or sponsor team members in states that are not currently energy deregulated but will soon and can come to position themselves when their state begins to deregulate.

 

Direct seller of energy can only do business limiting the number of states to do business in.

 

A Reseller on the other hand can create partnerships with different energy suppliers that service different states in the United States, giving largest possible energy footprint, region or territory in order to do more business in more places.