Top 5 Energy Suppliers in Illinois and Ohio

Here Are Some Of The Best Suppliers in the Midwest - IL, OH

Terminology in Agreements

Blend and Extend Clauses

• This is the “flexibility clause” that most business owners want especially when they sign up for a long-term energy contract. This clause allows our clients to renegotiate their rate down in the event the market goes down even while they're under contract. The frequently asked question (FAQ) we receive from clients is, “What if I lock in for 5 years, and the market goes back down? What happens then?” The standard response is, “Sign up with a supplier that allows you to blend & extend.”



• For small to medium sized businesses (ie: 50,000 kWh annual - 2,000,000 kWh annual usage), blend & extends are rarely written in energy contracts. In fact, none of the top 5 energy suppliers mentioned are willing to put a blend & extend clause in writing at this point in time.  Other suppliers we work with, such as Hudson, Tara, and Freepoint have their standard blend and extend clause built into their agreements for small to medium-sized businesses.
• For small to medium-sized businesses, this clause is rather a policy the top 5 suppliers offer as an ancillary benefit while their customer is under contract. For example, if you sign an energy contract with AEP Energy, Constellation Energy, Direct Energy, IGS Energy, or Dynegy, you have the opportunity to request a “blend & extend” during the duration of your contract, but the new rate and extension offer may not make sense for the client’s specific needs at the time.
• For larger commercial customers, this clause can be negotiated.

Bandwidth Clause

• For small to medium-sized businesses, all 5 of our top energy suppliers can provide a full-swing (100% bandwidth) contract, which essentially means there are no penalties, or added fees for using more/less energy than what your account is requiring and hedging.

Change of Ownership

• Direct Energy, Dynegy, IGS, and Constellation have the BEST change of ownership/assignment policies and protocols in place. 

During the pandemic, several of our Ananta clients sold their restaurants and hotels. Direct Energy, Dynegy, and Constellation typically have a smooth process of transitioning the discounted rate from the current owner to the new owner. There are some suppliers who were not able to honor the energy rate, and this could be detrimental for all parties involved in the energy contract (ie: Current Customer, New Owner, Energy Supplier, and Energy Broker.)



Customer Service

• Constellation Energy and IGS Energy are the top two energy suppliers when it comes to customer service. All of the suppliers we’ve mentioned are helpful in the customer service department, but Constellation Energy and IGS Energy set the bar with communication, support, and going the extra mile for Ananta’s customers. 
• Additionally, it’s their accountability. Both energy suppliers acknowledge when mistakes are made and go above and beyond to make things right. They continue to always put the customer first and they’re very diligent about resolving issues in a timely manner. 

Contract Expiration / Month-to-Month (MTM) Variable Price

• After a client’s contract expires, the client’s account may be transferred to a Month-to-month (MTM) Variable price.  This un-fixed rate varies month-to-month, but may still be under the supplier’s variable contract, based on the market electricity rate and demand.
• Dynegy and IGS Energy are the top suppliers to float month-to-month with. Their variable rates aren’t inflated. Some energy suppliers may charge premiums once a contract expires. 

For example, DYNEGY and IGS might charge a variable rate in IL or OH for 5 to 6 cents per kWh, while other suppliers might charge 8 to 12 cents per kWh.



Aggregation and Capabilities

• For aggregations and multi-unit deals, the top three easiest suppliers to work with are Dynegy, Constellation, and Direct Energy. 
• Our channel managers at each of these companies always go the extra mile to assist us and our customers with refreshing rates and executing/hedging deals.  They are deeply familiar with the language that most multi-unit aggregations will ask for. 
• For example, over 90% of our aggregations are built with multiple decision-makers. They range from 2 decision-makers on 2 hotels or 125+ decision-makers with 500+ hotels. Our team has been able to price out aggregations with success for the last decade and it’s with the extra effort of these three suppliers, we’ve been able to learn a plethora of information through several trial & error approaches.

• Aggregations are not easy, especially when dealing with several entities and accounts, and additionally, staggered start dates. Confirming the start dates alone is a process. Ensuring that all the customer data is accurate with credit passing on each entity is the next step, but not the last.  The list goes on. Many times, there is quite a bit of extra effort put in between our operations team, the client, the agent, and our channel managers– all with the understanding that the supplier might not win this deal. Hence, there are other suppliers who might be discouraged by aggregations. 

National Presence

Two of our top suppliers operate not only in Ohio and Illinois but nationally as well: Direct Energy and Constellation. They’re able to price in additional energy markets that Ananta is active in, such as  IL, OH, TX, MD, NJ, NY, CT, and PA. The amount of information and education they provide in all of these markets is extraordinary. In the event they’re not an expert in a specific area, they’re extremely resourceful and always provide our team with necessary data. 



Punctuality of Timelines

• Every supplier has different timelines for when a contract is due for submission and this can change our strategy for several accounts, depending on how closely the commercial customer is watching the market. 
• Our favorite energy supplier with timelines and hedging energy contracts is AEP Energy. Why? Typically, when they issue a price, their provided rates are normally good for a 24 to 36-hour window! For those who do not know, this is very helpful on our end, as an energy broker.
• All of our other suppliers require contracts to be hedged and booked not only within the same day, but some of them have specific time requirements (ie: Contracts due by 4p EST; otherwise offer is no longer valid).