The History of Natural Gas Deregulation in New York
New York has a deregulated natural gas market, meaning consumers have a choice when it comes to natural gas companies. Let's get a quick look at what deregulation is, see how New York became deregulated and then find out how you can use deregulation to lower your natural gas bill.
What is Natural Gas Deregulation in New York?
Under regulation, New Yorkers were forced to order their natural gas from the local utility company (also known as the incumbent). Under deregulation in New York, the market has been opened up to competition from alternative suppliers of natural gas. These alternative suppliers are known as Energy Service Companies (or ESCOs).
ESCOs compete for your business in most markets in New York. The incumbent provider still offers what is known as the "default service" in these markets, but consumers have the option to switch to an ESCO. Switching providers can not only result in a lower natural gas rate in New York, but allows consumers to find fixed rate plans, green energy options and improved customer service.
How Did Natural Gas Become Deregulated in New York?
Deregulation in New York's natural gas market began during the mid-1980s. At first, only large industrial customers with the ability to switch between burning natural gas and oil were allowed to switch providers. This worked well, and by 1994 this right was also extended to industrial customers that only burned natural gas.
In May of 1996, New York Public Service Commission began the process of "unbundling" the natural gas service of regular consumers. This means the charges for delivering natural gas were separated from the charges for the natural gas itself, allowing customers to order their natural gas from an ESCO.
How Can I Take Advantage of Natural Gas Deregulation in New York?
Switching natural gas providers in New York is a breeze. To get started, head over to our natural gas center and enter your address. We'll search our database of the top providers and report back with a list of plans available at your location in just seconds.
You can then compare the offers head-to-head to find the best natural gas deals in your area. You'll be able to see the price per therm, plan type (fixed vs. variable), monthly charge amount, any promotions the providers are running (such as a bill credit) and if there is an early termination fee. Once you've made your selection, you can connect your new service directly on the site without ever having to pick up a phone.
Learn More
Consumers in New York also enjoy a deregulated electricity market. Check out the facts about electricity deregulation in New York, to learn how to save on your electricity bill as well!
To learn more about energy deregulation and how it can help you save on your natural gas bill, check out the deregulation section here on WhiteFence Energy.