Thursday, August 26, 2010

The Energy Retailer's Paradox — Free Energy

Energy retailers are in the business of selling electricity and natural gas. They purchase the energy from a generation company at wholesale and then resell it to the consumer at retail. This is how the retail providers create revenue and profit in their business. However, one company actually provides a way for consumers to get their energy for free. What makes this paradox even bigger is that partly because of this business model, the company has actually increased their revenues by 20,369% from $1.6 Million in 2006 to $325 Million in 2009!

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