Northerners dread opening up those utility bills this time of year. On the flip side, Southerners hate seeing theirs in summer. The local utility company is their arch nemesis. …Or is it?
More and more utility companies are working to help customers save money when it comes to energy — even though it’s counter-intuitive because when customers trim their energy bills, utility companies collect less money.
Setting up a less profit-bound system involves a concept called “decoupling,” in which states step in to help the power companies become agents for change. Typically, the state offers incentives to companies to help customers become more energy efficient. When electricity demand falls, the state might replace profits or extend other financial assistance to the power company, thereby “decoupling” the profits from usage.
