Areas covered include:
- Know your gas price – Many retail gas contracts are actually devoid of pricing. Some retail gas marketers use pricing terms that sound good to the uninformed, but do not tie to industry published pricing and cannot be verified or audited.
- Know your delivery cost – Many retail gas contracts fail to explain the terms "transportation cost" or "basis". Many officials do not know how this component of the gas supply chain can sink their savings faster than the Titanic.
- Know the fee you are paying – Many retail gas contracts fail to identify the fees being collected by the retail gas marketer. In many cases the contracts simply refer to "reasonable" fees. However, without clear contractual language a buyer may end up paying numerous hidden fees that soak up any potential savings.
The bottom line is that through the application of contracting best practices and utilizing the transparency inherent in the very liquid gas markets it is possible to realize savings.
To read the full article please visit us at: http://mepsolutions.org/natural-gas-articles/
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/mep-solutions-llc-takes-a-fresh-look-at-natural-gas-contracting-300347933.html
SOURCE MEP Solutions, LLC