Natural Gas Purchasing Strategies

Professionally managed, diverse energy solutions, which combine unique fixed and index rate structures

Natural Gas Index Price Strategy

An index-based price solution offers the flexibility of pricing that reflects wholesale market conditions and often includes the ability to make adjustments when the market drops.

Contact Selected Power to receive the most competitive energy rates from the nation’s largest suppliers.  

Core Benefits

  • Index-based pricing offers companies to purchase their natural gas at NYMEX and Gas Daily indices
  • Also gives flexibility to respond to favorable market conditions when floating on market prices
  • Saving opportunity as risk premiums associated with fixed-rate strategies based in the future & forward markets are avoided
  • Purchase the natural gas commodity at a daily index price, while securing a fixed rate for the region's more volatile commodity transportation costs (commonly referred to as "basis")
  • Possible risks include market risk when gas prices are highest or have sustained upward trends (allows potential savings, but also you may be subject to higher prices)

Can I choose a strategy that allows the advantages of a fixed rate, but also the opportunity to benefit from a lower price if the market drops?

Yes, Selected Power provides a range of hybrid strategies allowing some budget flexibility but also offering the ability to take advantage of lower rates in a declining market. Speak with an energy advisor at Selected Power to help evaluate your needs and decide which strategy best suits your company.