If your power bills or fuel prices have been more volatile lately, you are not alone. August 31, 2022: Our CEO, Bart Fromuth, writes in an article in the New Hampshire Bulletin that New Hampshire households and businesses are in the middle of an energy crisis but it's not forever.  

The grounds for the continued amazement at the expenditures

Bart recognizes two main pressures. Volatility continues to disrupt fuel supply and pricing worldwide, and New England's unflexible energy structure makes it difficult for ratepayers to adjust. Utilities often buy power over short six-month periods. That makes regulation easier but limits their ability to get favorable pricing and leaves customers vulnerable during market spikes.  

Another aspect is the regional energy mix. In large swaths of New England, solar power has outstripped the storage and grid infrastructure needed to support it, raising delivery and balancing costs that are passed on to customers.  

Community Choice Aggregation: A regional solution

Bart's work is in the area of Community Choice Aggregation (CCA) where local governments may buy energy for their inhabitants and businesses, instead of only relying on the utility supplier. It has been used before by Laconia, Londonderry, Merrimack, Salem and Windham.  

His most famous example is Salem. Through a more extended and flexible approach to contract duration and structure, the municipality has helped to shield people from some of the recent market swings. Savings are projected to be over $825,000 in the early months of the program. "The key message is that energy procurement works best when it is treated as a proactive, market aware activity, not just as an administrative activity," Bart says.  

Beyond the binary conversation

Bart argues for a more holistic approach, going beyond the usual division of fossil fuels and renewable energy sources. What does this mean to him?  

• Continuing to increase renewable energy sources, while investing in energy storage and system improvements.
• Steady domestic supplies like natural gas during high demand times and the dead of winter.
• Changing policies, such as net metering, to better align incentives with the needs of the grid as a whole.  

The heart of the matter

Bart argues that energy decisions are ultimately economic choices. They affect competitive edge, domestic stability and the well-being of the community. He says empowering local governments, embracing flexible procurement approaches and pursuing a varied energy mix will help New Hampshire build a stronger system that protects residents, businesses from future price swings.  

At Freedom Energy Logistics, we help corporations, governments and organizations bring greater predictability and manageability to energy every day. If you would want to talk about what that might mean for you, please contact our team.  

Bart's comprehensive study is available in the New Hampshire Bulletin: Click here to read the article.