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The FIRST NJ CAR/WASCO electric aggregation through Metromedia Power (MMP) was an incredible success, with 270 dealership locations and
a total of 90 million kWhs included. Dealers who joined the program will enjoy savings through a fixed-rate, 19-month contract which includes two summers, when electric rates typically trend higher.
Dealerships in the program will save $2.5 million on their electric energy costs over the life of the contract.
Since the first aggregation was completed the Coalition has heard from additional dealerships asking whether NJ CAR will put together a second electric aggregation. The answer: Maybe. In order to achieve any significant savings on electric rates, an electric aggregation needs a minimum of 10 million kWhs.
Dealerships that have an interest in participating should complete the Electric Supplier Authorization Form and fax it to NJ CAR at 609.883.1093. Dealers should also include at least four-months worth of electric bills (two summer and two winter), in order for NJ CAR to develop a price comparison for your dealership.
Depending upon the level of member interest, NJ CAR will work with MMP to put together a second aggregation.
Will There Be A Natural Gas Deregulation?
Unlike electricity where all dealerships have similar usage patterns, not all companies use natural gas the same way. Because of this variance in usage, a fixed price natural gas contract doesn’t work for all dealerships. Metromedia Power offers dealers a floating month-to-month (variable rate) contract with the flexibility to fix a natural gas price at any time…in the event price indicators like supply, weather, inventory, etc. change.
A variable rate contract provides a dealership the ability to buy natural gas at low market prices, while exposing your business to little risk. If you are interested in exploring whether NJ CAR and MMP can save you money on your natural gas usage,
please complete the Natural Gas Supplier Authorization Form and fax it to NJ CAR at 609.883.1093.
What is Power Shop?
Power Shop is an NJ CAR and WASCO energy-purchasing aggregation program through Metromedia Power (MMP) one of the largest and most experienced buyer’s agents in the energy industry. Because of MMP’s relationships with the largest wholesale suppliers in the energy industry, participating dealerships are guaranteed the lowest market rates for their electric and natural gas usage.
How does it work?
With the dealership’s authorization, MMP will obtain the last 12 months of energy usage history from the local utility company and will then source it out to find the lowest bid for all members. As a result, all participating dealerships will receive a bulk purchase price.
What are the benefits?
The benefits are: budget stability, negotiating leverage and the lowest energy cost available. MMP’s expertise and due diligence will guide each dealership through the process. The aggregation of hundreds of dealership locations will drive down the price of electricity and gas for all dealerships participating in the aggregation.
Electric Supplier Authorization Form
Natural Gas Supplier Authorization Form
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