The names of the three companies who were the winning bidders in natural gas company Dominion’s yearly Standard Choice Offer (SCO) auction have been released.
At the end of February, Dominion held its annual auction to determine the “adder” price for the formula to determine the monthly SCO price.
The new formula — with the winning bidders — goes into effect after April 1 for one year.
The auction came back with what consumers would call great results, lowering the “adder” from $1 per thousand cubic feet (mcf) to the previous month’s settlement price of the New York Mercantile Exchange (NYMEX) for the SCO formula to 60 cents/mcf.
So if you are a current SCO customer or you requested to be switched to the SCO, Dominion will randomly reassign your provider listed on your bill with the SCO on April 1. The three companies are DTE Energy Trading, Inc., Hess Corp. and Noble American Gas & Power.
A reminder: These companies and those currently providing the SCO who were not the winning bidders for next year have agreed to give SCO customers the SCO rate. Many of them also send letters or call their customers to try to convince them to take the company’s own rate. That is not the same and is not required to follow the SCO formula, so I would stick with the SCO.
For all of my previous natural gas columns, including one on March 4 that goes over the SCO and the auction, go online to www.ohio.com/betty.