We are often asked about what electricity rates are going to do in the future. Here is an opinion from a large consulting group:
" U.S. businesses have enjoyed stable and predictable electricity prices over the past decade due in large part to nuclear facilities operating in force and coal plants burning an inexpensive fuel source. But this is about to change. With many energy producing facilities scheduled to retire in the next ten years, some of which will be replaced by more expensive facilities, the price organizations pay for a kilowatt of electricity is expected to rise. As a result, electricity prices the next ten years may be unlike the past ten years. With a typical operation already spending a significant portion of its annual revenue on energy, what can your organization do to insulate itself from the expected increase in energy prices?"
- Deloitte Energy Management Strategy Report
Full report here