MXenergy
Encyclopedia
MXenergy is a retail natural gas
and electricity supplier in North America. It was founded in 1999 to provide natural gas and electricity in deregulated energy markets. In 2006, MXenergy was named fourth on Inc. Magazine’s list of fastest growing private companies in America on the basis of revenue, 370th on the basis of growth rate. The company is a member of the Chicago Climate Exchange
and an ENERGY STAR Partner
MXenergy was founded in 1999 by Jeffrey Mayer, the company’s current Chief Executive Officer and President; Robi Artman-Hodge, the company’s first CFO and later its Executive Vice President until Spring 2010; and Daniel Burke, the company’s first Chief Operating Officer.
The company’s first office was in Louisville, KY. In 2000, the company opened an office in Stamford, CT for executive management, finance, and accounting.
2001: The company moves its operations from Louisville, KY, to Annapolis Junction, MD, which now serves as the company’s principal call center. Company purchases books of business from Summit Energy and Energy.com
2002: Company begins serving consumers behind Consumer Gas and Northern Indiana Public Service Company.
2003: Company completes asset purchase agreement with Nicor
Gas in Indiana and Ohio and begins servicing customers in New Jersey.
2004: MXenergy purchases Total Gas & Electric, a subsidiary of Star Petro, and initiates its electricity supply business Company entered the Canadian market behind the Enbridge Natural Gas System in Ontario.
2005: Company enters the Rochester Gas & Electric market in New York.
2006: Company acquires Shell Energy Services Company and moves principle operations to Houston, TX.
2007: Company purchases customer contracts of Vantage Power Services and begins servicing customers of United Illuminating and Connecticut Light & Power.
2008: Company acquires Gaskey, a major supplier in the Georgia market.
2010: Company begins servicing customers in PPL, formerly known as Pennsylvania Power & Light, as well as PECO, formerly Philadelphia Electric Company, and Pacific Gas & Electric.
After a lengthy investigation, the CT-DPUC issued a report that found among other things that the company had given customers 30 days and not 45 days notice of price changes as required by state regulation. The CT-DPUC did not find any evidence of intentional customer protection violations. The CT-DPUC acknowledged that the company had voluntarily brought the matter to the regulators’ attention after it learned that it had inadvertently neglected to send out price change notices in a timely manner and that the company had voluntarily offered to extend its fixed prices, and to send refunds, to affected customers.
, Texas
, Ohio
, Michigan
, New York
, New Jersey
, Massachusetts
, Connecticut
, Florida
, Kentucky
, Indiana
, Illinois
, Pennsylvania
, Maryland
, California
, Ontario
, and British Columbia
.
and electricity, as well as related services, to all consumers within their territory. In many cases, utilities not only controlled the local distribution systems but also built and maintained the interstate pipelines and overhead wires that brought natural gas and electricity to their customers. Many utilities also owned natural gas production assets and electric power generation facilities. These vertically integrated monopolies provided a form of one-stop shopping to consumers who were highly dependent upon the utilities, not only for the basic energy commodity but also for all services needed for new or upgraded buildings or manufacturing facilities.
In the late 1980s, the Federal Energy Agency and its successor, the Federal Energy Regulatory Commission
, which regulated the interstate shipment of natural gas and the rates charged for transport, mandated that pipelines, including those owned and operated by utilities, provide open access to consumers. The unbundling of transportation opened the way for a number of large commercial and industrial consumers to seek direct access, through bilateral contracts with producers and marketers, to supplies in the producing regions. At the same time, such large consumers sought to be able to “tap in” to interstate pipelines instead of being required to purchase their supplies from the local utility at the utility’s cost of service.
By the mid-1990s, a number of United States utilities chose to permit smaller consumers, in some cases homeowners and small businesses, likewise to purchase their energy from independent third party suppliers. In doing so, these utilities were following the lead in deregulation that had been charted by utilities first in New Zealand in the late 1980s and then in Canada in the early 1990s.
The distribution of energy to consumers is regulated by individual states and not by the federal government. Today, approximately 22 states and the District of Columbia allow retail homeowner and commercial customers to purchase natural gas from independent suppliers other than the local regulated utility and approximately 18 states permit such consumers to purchase electricity from such suppliers. Where legislation has permitted utilities to offer competitive supply or “Choice,” state utility commissions or public service commissions have adopted tariffs that set out the broad parameters that govern Choice. They have then generally left it to the utilities to adopt the specific rules that regulate the Choice programs.
MXenergy is one of the first and oldest companies to offer energy to homeowners and businesses in deregulated energy markets. Today, close to 200 companies are reported by the Energy Information Agency to be offering homeowners and businesses energy supply in one or more states.
and is an Energy Star
Partner placing a strong focus on environmental and sustainability issues. The company currently offers 100% renewable energy
to its Connecticut customers.
MXenergy offers carbon offset
credits to its customers as a way to neutralize their carbon footprint. The credits support new forestry in Columbus, Georgia
. The company is partnered with Valley Wood, Inc., a certified offset aggregator for the Chicago Climate Exchange.
in Allentown, as well as the Volunteers of American in Mechanicsburg.
MXenergy also teamed up with 95.9 FM The Fox for a coat drive in Norwalk, CT. The drive was meant to raise warm clothing and food for the Norwalk Emergency Center, but so many donations were received that a sizable donation was also made to the Community Closet in Bridgeport.
from gasoline to battery power. With significant financial backing from MXenergy, this goal was achieved after 100 hours of research and 100 hours of labor. The car currently gets 50 miles per charge off its 12 batteries and can be plugged into any wall plug. Boncek currently speaks at schools about environmental sustainability.
Natural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...
and electricity supplier in North America. It was founded in 1999 to provide natural gas and electricity in deregulated energy markets. In 2006, MXenergy was named fourth on Inc. Magazine’s list of fastest growing private companies in America on the basis of revenue, 370th on the basis of growth rate. The company is a member of the Chicago Climate Exchange
Chicago Climate Exchange
The now defunct Chicago Climate Exchange was North America’s only voluntary, legally binding greenhouse gas reduction and trading system for emission sources and offset projects in North America and Brazil....
and an ENERGY STAR Partner
MXenergy was founded in 1999 by Jeffrey Mayer, the company’s current Chief Executive Officer and President; Robi Artman-Hodge, the company’s first CFO and later its Executive Vice President until Spring 2010; and Daniel Burke, the company’s first Chief Operating Officer.
The company’s first office was in Louisville, KY. In 2000, the company opened an office in Stamford, CT for executive management, finance, and accounting.
History
2000: The company purchases supply contracts for 20,000 customers from Keyspan Energy.2001: The company moves its operations from Louisville, KY, to Annapolis Junction, MD, which now serves as the company’s principal call center. Company purchases books of business from Summit Energy and Energy.com
2002: Company begins serving consumers behind Consumer Gas and Northern Indiana Public Service Company.
2003: Company completes asset purchase agreement with Nicor
Nicor
Nicor, Inc. is an energy and shipping company headquartered in Naperville, Illinois. Its largest subsidiary, Nicor Gas, is a natural gas distribution company. Founded in 1954, the company serves more than two million customers in a service territory that encompasses most of the northern third of...
Gas in Indiana and Ohio and begins servicing customers in New Jersey.
2004: MXenergy purchases Total Gas & Electric, a subsidiary of Star Petro, and initiates its electricity supply business Company entered the Canadian market behind the Enbridge Natural Gas System in Ontario.
2005: Company enters the Rochester Gas & Electric market in New York.
2006: Company acquires Shell Energy Services Company and moves principle operations to Houston, TX.
2007: Company purchases customer contracts of Vantage Power Services and begins servicing customers of United Illuminating and Connecticut Light & Power.
2008: Company acquires Gaskey, a major supplier in the Georgia market.
2010: Company begins servicing customers in PPL, formerly known as Pennsylvania Power & Light, as well as PECO, formerly Philadelphia Electric Company, and Pacific Gas & Electric.
Controversies
In August 2008, the Connecticut Department of Public Utility Control (“CT-DPUC”) began an investigation of MXenergy that was later joined by the Office of the Attorney General and Office of Consumer Counsel. The investigation followed complaints from customers who complained of high bills following the run-up of international energy prices in the spring of 2008. MXenergy customers who had enrolled in fixed prices for a four-month period in the spring found their prices jump to higher monthly variable prices in June 2008. At the time, other energy prices were likewise high, including crude oil which traded for $147/barrel.After a lengthy investigation, the CT-DPUC issued a report that found among other things that the company had given customers 30 days and not 45 days notice of price changes as required by state regulation. The CT-DPUC did not find any evidence of intentional customer protection violations. The CT-DPUC acknowledged that the company had voluntarily brought the matter to the regulators’ attention after it learned that it had inadvertently neglected to send out price change notices in a timely manner and that the company had voluntarily offered to extend its fixed prices, and to send refunds, to affected customers.
Products and Services
MXenergy currently supplies natural gas and/or electricity in 15 states and 2 Canadian provinces including: GeorgiaGeorgia (U.S. state)
Georgia is a state located in the southeastern United States. It was established in 1732, the last of the original Thirteen Colonies. The state is named after King George II of Great Britain. Georgia was the fourth state to ratify the United States Constitution, on January 2, 1788...
, Texas
Texas
Texas is the second largest U.S. state by both area and population, and the largest state by area in the contiguous United States.The name, based on the Caddo word "Tejas" meaning "friends" or "allies", was applied by the Spanish to the Caddo themselves and to the region of their settlement in...
, Ohio
Ohio
Ohio is a Midwestern state in the United States. The 34th largest state by area in the U.S.,it is the 7th‑most populous with over 11.5 million residents, containing several major American cities and seven metropolitan areas with populations of 500,000 or more.The state's capital is Columbus...
, Michigan
Michigan
Michigan is a U.S. state located in the Great Lakes Region of the United States of America. The name Michigan is the French form of the Ojibwa word mishigamaa, meaning "large water" or "large lake"....
, New York
New York
New York is a state in the Northeastern region of the United States. It is the nation's third most populous state. New York is bordered by New Jersey and Pennsylvania to the south, and by Connecticut, Massachusetts and Vermont to the east...
, New Jersey
New Jersey
New Jersey is a state in the Northeastern and Middle Atlantic regions of the United States. , its population was 8,791,894. It is bordered on the north and east by the state of New York, on the southeast and south by the Atlantic Ocean, on the west by Pennsylvania and on the southwest by Delaware...
, Massachusetts
Massachusetts
The Commonwealth of Massachusetts is a state in the New England region of the northeastern United States of America. It is bordered by Rhode Island and Connecticut to the south, New York to the west, and Vermont and New Hampshire to the north; at its east lies the Atlantic Ocean. As of the 2010...
, Connecticut
Connecticut
Connecticut is a state in the New England region of the northeastern United States. It is bordered by Rhode Island to the east, Massachusetts to the north, and the state of New York to the west and the south .Connecticut is named for the Connecticut River, the major U.S. river that approximately...
, Florida
Florida
Florida is a state in the southeastern United States, located on the nation's Atlantic and Gulf coasts. It is bordered to the west by the Gulf of Mexico, to the north by Alabama and Georgia and to the east by the Atlantic Ocean. With a population of 18,801,310 as measured by the 2010 census, it...
, Kentucky
Kentucky
The Commonwealth of Kentucky is a state located in the East Central United States of America. As classified by the United States Census Bureau, Kentucky is a Southern state, more specifically in the East South Central region. Kentucky is one of four U.S. states constituted as a commonwealth...
, Indiana
Indiana
Indiana is a US state, admitted to the United States as the 19th on December 11, 1816. It is located in the Midwestern United States and Great Lakes Region. With 6,483,802 residents, the state is ranked 15th in population and 16th in population density. Indiana is ranked 38th in land area and is...
, Illinois
Illinois
Illinois is the fifth-most populous state of the United States of America, and is often noted for being a microcosm of the entire country. With Chicago in the northeast, small industrial cities and great agricultural productivity in central and northern Illinois, and natural resources like coal,...
, Pennsylvania
Pennsylvania
The Commonwealth of Pennsylvania is a U.S. state that is located in the Northeastern and Mid-Atlantic regions of the United States. The state borders Delaware and Maryland to the south, West Virginia to the southwest, Ohio to the west, New York and Ontario, Canada, to the north, and New Jersey to...
, Maryland
Maryland
Maryland is a U.S. state located in the Mid Atlantic region of the United States, bordering Virginia, West Virginia, and the District of Columbia to its south and west; Pennsylvania to its north; and Delaware to its east...
, California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
, Ontario
Ontario
Ontario is a province of Canada, located in east-central Canada. It is Canada's most populous province and second largest in total area. It is home to the nation's most populous city, Toronto, and the nation's capital, Ottawa....
, and British Columbia
British Columbia
British Columbia is the westernmost of Canada's provinces and is known for its natural beauty, as reflected in its Latin motto, Splendor sine occasu . Its name was chosen by Queen Victoria in 1858...
.
Deregulation
Prior to the deregulation of energy, utilities, sometimes known as local distribution companies or LDCs, enjoyed a monopoly on energy distribution. This monopoly was an understandable outgrowth of the substantial investments utilities made in the requisite infrastructure. In a form of regulatory compact, utilities that made such an investment were given the exclusive right to provide natural gasNatural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...
and electricity, as well as related services, to all consumers within their territory. In many cases, utilities not only controlled the local distribution systems but also built and maintained the interstate pipelines and overhead wires that brought natural gas and electricity to their customers. Many utilities also owned natural gas production assets and electric power generation facilities. These vertically integrated monopolies provided a form of one-stop shopping to consumers who were highly dependent upon the utilities, not only for the basic energy commodity but also for all services needed for new or upgraded buildings or manufacturing facilities.
In the late 1980s, the Federal Energy Agency and its successor, the Federal Energy Regulatory Commission
Federal Energy Regulatory Commission
The Federal Energy Regulatory Commission is the United States federal agency with jurisdiction over interstate electricity sales, wholesale electric rates, hydroelectric licensing, natural gas pricing, and oil pipeline rates...
, which regulated the interstate shipment of natural gas and the rates charged for transport, mandated that pipelines, including those owned and operated by utilities, provide open access to consumers. The unbundling of transportation opened the way for a number of large commercial and industrial consumers to seek direct access, through bilateral contracts with producers and marketers, to supplies in the producing regions. At the same time, such large consumers sought to be able to “tap in” to interstate pipelines instead of being required to purchase their supplies from the local utility at the utility’s cost of service.
By the mid-1990s, a number of United States utilities chose to permit smaller consumers, in some cases homeowners and small businesses, likewise to purchase their energy from independent third party suppliers. In doing so, these utilities were following the lead in deregulation that had been charted by utilities first in New Zealand in the late 1980s and then in Canada in the early 1990s.
The distribution of energy to consumers is regulated by individual states and not by the federal government. Today, approximately 22 states and the District of Columbia allow retail homeowner and commercial customers to purchase natural gas from independent suppliers other than the local regulated utility and approximately 18 states permit such consumers to purchase electricity from such suppliers. Where legislation has permitted utilities to offer competitive supply or “Choice,” state utility commissions or public service commissions have adopted tariffs that set out the broad parameters that govern Choice. They have then generally left it to the utilities to adopt the specific rules that regulate the Choice programs.
MXenergy is one of the first and oldest companies to offer energy to homeowners and businesses in deregulated energy markets. Today, close to 200 companies are reported by the Energy Information Agency to be offering homeowners and businesses energy supply in one or more states.
Environmental Focus
The company is a member of the Chicago Climate ExchangeChicago Climate Exchange
The now defunct Chicago Climate Exchange was North America’s only voluntary, legally binding greenhouse gas reduction and trading system for emission sources and offset projects in North America and Brazil....
and is an Energy Star
Energy Star
Energy Star is an international standard for energy efficient consumer products originated in the United States of America. It was first created as a United States government program during the early 1990s, but Australia, Canada, Japan, New Zealand, Taiwan and the European Union have also adopted...
Partner placing a strong focus on environmental and sustainability issues. The company currently offers 100% renewable energy
Renewable energy
Renewable energy is energy which comes from natural resources such as sunlight, wind, rain, tides, and geothermal heat, which are renewable . About 16% of global final energy consumption comes from renewables, with 10% coming from traditional biomass, which is mainly used for heating, and 3.4% from...
to its Connecticut customers.
MXenergy offers carbon offset
Carbon offset
A carbon offset is a reduction in emissions of carbon dioxide or greenhouse gases made in order to compensate for or to offset an emission made elsewhere....
credits to its customers as a way to neutralize their carbon footprint. The credits support new forestry in Columbus, Georgia
Columbus, Georgia
Columbus is a city in and the county seat of Muscogee County, Georgia, United States, with which it is consolidated. As of the 2010 census, the city had a population of 189,885. It is the principal city of the Columbus, Georgia metropolitan area, which, in 2009, had an estimated population of 292,795...
. The company is partnered with Valley Wood, Inc., a certified offset aggregator for the Chicago Climate Exchange.
Community Service
MXenergy has sponsored two coat drives in 2010. The first was in January in Allentown, PA. Teaming up with WAEB 790 AM, WMHX 106.7 FM, and WODE 99.9 FM The HAWK, warm clothing and food were collected for The Rescue Mission, Jewish Family Service Food Bank, Kosher Food Pantry, and The Salvation ArmyThe Salvation Army
The Salvation Army is a Protestant Christian church known for its thrift stores and charity work. It is an international movement that currently works in over a hundred countries....
in Allentown, as well as the Volunteers of American in Mechanicsburg.
MXenergy also teamed up with 95.9 FM The Fox for a coat drive in Norwalk, CT. The drive was meant to raise warm clothing and food for the Norwalk Emergency Center, but so many donations were received that a sizable donation was also made to the Community Closet in Bridgeport.
James Boncek
In 2009, James Boncek of Fairfield, CT began converting a $100 1993 Toyota TercelToyota Tercel
The Tercel is a subcompact manufactured from 1978 to 2000 across five generations, in five body configurations — sized between the Corolla and the Starlet...
from gasoline to battery power. With significant financial backing from MXenergy, this goal was achieved after 100 hours of research and 100 hours of labor. The car currently gets 50 miles per charge off its 12 batteries and can be plugged into any wall plug. Boncek currently speaks at schools about environmental sustainability.
External links
- MXenergy Website
- CEO's Blog
- MXenergy Georgia
- Official MXenergy Filings
- MXenergy's Green Site
- Energy Audits