Fixed Price Strategy
A “fixed” price strategy, provides businesses the ability to secure an all-inclusive per-kWh price for a definite contract term (which acts as a hedge against volatile energy markets.) It is a simple, stable solution for entities seeking cost stability and budget certainty.
- Cost Stability (your price is protected from fluctuations in the electricity market)
- Potential for Budget Certainty (more easily manage your budget knowing your energy costs in advance)
- Simplicity (limits the need to make ongoing electricity management decisions)
- Potential risks include market risk (in declining markets a fixed rate can lead to a higher overall cost than an index- based rate), rate changes based on material changes in usage patterns, and in certain cases, additional costs in the event of regulatory changes
Can I choose a strategy that allows the benefits of a fixed rate but also the ability to take advantage of a lower price if the market drops?
Yes, Patriot Energy offers a variety of hybrid strategies allowing for some amount of budget control while also providing the opportunity to take advantage of lower prices in a falling market. Speak with an energy advisor at Patriot Energy today to better assess your needs and determine which strategy is the best fit for your business.
Ready to Get Started?
Submit the form below and we will have a representative contact you.