Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

If Utilities Kingston charges “cost” for the commodity portion, how can a retailer make a profit?

0
Posted

If Utilities Kingston charges “cost” for the commodity portion, how can a retailer make a profit?

0

Essentially the retailer believes they will be able to purchase electricity on the open market at a price less than you pay in the contract. The main difference between the retailer and Utilities Kingston is Utilities Kingston needs to have a secure supply; therefore we will typically lock into longer-term contracts than a retailer. The retailer on the other hand will attempt to time the market and buy on “dips” in prices.

Related Questions

What is your question?

*Sadly, we had to bring back ads too. Hopefully more targeted.

Experts123