Choosing an Energy Plan During a Move: A Comprehensive Checklist
Relocating a business is among the most complex undertakings any organization can face. Amidst the chaos of moving equipment, notifying customers, and updating business registrations, energy procurement often gets pushed to the bottom of the to-do list. This oversight can prove costly. Failing to properly plan your commercial energy plan in Illinois during a move can result in service interruptions, unfavorable contract terms, and months or years of unnecessarily high energy costs.
Whether you're moving across town or establishing a new presence in Illinois for the first time, this comprehensive guide will walk you through every step of business electricity setup in Illinois. From conducting a pre-move energy audit to avoiding the most common post-relocation mistakes, you'll have everything you need to ensure your energy transition is as smooth as your business transition.
Pre-Move Energy Audit Checklist
Before you begin contacting utilities or shopping for energy suppliers, you need to thoroughly understand both your current energy situation and your anticipated needs at the new location. This pre-move audit forms the foundation for all subsequent decisions.
Assess Your Current Energy Usage
Start by gathering detailed information about your current energy consumption. This data will be invaluable when evaluating options for your new location.
Collect Historical Usage Data:
- Obtain at least 12 months of electricity bills from your current location
- Note monthly kilowatt-hour (kWh) consumption and peak demand readings
- Identify seasonal patterns and any unusual spikes or dips
- Document your current rate structure (fixed, variable, indexed) and per-kWh costs
- If you use natural gas, gather parallel information for gas consumption
Document Current Contract Terms:
- When does your current energy supply contract expire?
- What are the early termination provisions and associated fees?
- Is the contract location-specific or can it be transferred to a new address?
- What notice periods are required for termination or transfer?
- Do you have any pending credits, rebates, or reconciliation payments?
Understanding your current situation helps you avoid costly surprises and positions you to negotiate effectively for your new location.
Evaluate the New Location's Energy Infrastructure
Your new location's energy infrastructure may differ significantly from your current facility. Assess these factors before finalizing any lease or purchase:
Electrical Service:
- What is the available electrical capacity (amperage and voltage)?
- Is three-phase power available if your equipment requires it?
- What is the condition of the electrical panel and wiring?
- Are any upgrades needed to support your operations?
- Who is responsible for upgrade costs—you or the landlord?
Utility Territory:
- Which utility company provides delivery service at the new address?
- If you're moving within Illinois, are you staying in the same utility territory?
- Different utilities (ComEd, Ameren Illinois, MidAmerican) have different rate structures and delivery charges
- Confirm that the address is in a deregulated territory allowing supplier choice
Natural Gas Service:
- Is natural gas available at the location?
- What is the gas service capacity?
- Which gas utility serves the address?
- Are there any conversion costs if switching between energy sources?
Estimate Future Energy Requirements
Your energy needs at the new location may differ from your current usage. Consider factors that could increase or decrease consumption:
Potential Increases:
- Larger facility square footage
- Additional equipment or production capacity
- Extended operating hours
- Less efficient building systems (older HVAC, poor insulation)
- Different climate zone requiring more heating or cooling
Potential Decreases:
- Smaller or more efficient space
- Modern building with better insulation and HVAC
- Opportunity to upgrade to more efficient equipment during the move
- Reduced operations during transition period
Develop realistic projections for your first 12-24 months at the new location. These estimates will guide system sizing, contract negotiations, and budget planning.
Create Your Pre-Move Action Timeline
Based on your audit findings, create a timeline for energy-related tasks. Generally, begin the process 60-90 days before your move date:
- 90 days before: Complete energy audit, review current contracts, begin researching new location utility requirements
- 60 days before: Contact current supplier about transfer or termination options, begin gathering quotes for new location
- 45 days before: Submit utility applications for new location, finalize supplier selection, schedule service activation
- 30 days before: Confirm all service dates, provide notice to current utility/supplier as required
- 14 days before: Verify service will be active on move-in date, confirm account numbers and contact information
- Move day: Verify service is active, document meter readings
Comparing Fixed, Variable, and Hybrid Energy Plans
A business relocation presents an ideal opportunity to reevaluate your energy procurement strategy. Understanding the differences between plan types helps you select the best option for your situation.
Fixed-Rate Energy Plans
Fixed-rate plans lock in a specific price per kilowatt-hour for the duration of your contract, typically ranging from 12 to 36 months. Your energy costs become predictable, making budgeting straightforward.
Advantages:
- Budget certainty and protection from market price spikes
- Simplified forecasting for financial planning
- Peace of mind during volatile market conditions
- Often preferred by lenders and investors who value predictable operating costs
Disadvantages:
- May pay above market rates if wholesale prices decline
- Early termination fees can be substantial
- Less flexibility to take advantage of market opportunities
- Premium pricing compared to variable rates in stable markets
Best for: Businesses that prioritize budget certainty, have tight margins sensitive to energy cost fluctuations, or lack the resources to actively manage energy procurement.
Variable-Rate Energy Plans
Variable-rate plans feature prices that fluctuate monthly based on wholesale market conditions. Your rate changes as the market changes, for better or worse.
Advantages:
- Potential for lower costs when market prices are favorable
- Flexibility to switch suppliers without early termination penalties
- No long-term commitment required
- Benefit directly from market price declines
Disadvantages:
- Budget uncertainty—costs can vary significantly month to month
- Exposure to price spikes during extreme weather or supply disruptions
- Requires more active management and market awareness
- Can cause cash flow challenges during high-price periods
Best for: Businesses with flexibility to absorb price variations, sophisticated energy management capabilities, or those in markets with historically stable prices.
Hybrid and Indexed Plans
Hybrid approaches combine elements of fixed and variable pricing, offering middle-ground solutions:
Block and Index: A portion of your usage is priced at a fixed rate while the remainder floats with market prices. This provides partial budget certainty while maintaining some market exposure.
Caps and Collars: Variable pricing with built-in limits. A cap protects you from extreme price spikes while a collar may limit your benefit from price drops. These plans balance risk and opportunity.
Seasonal Structures: Different pricing mechanisms for different seasons. For example, fixed pricing during volatile summer months with variable pricing during more stable shoulder seasons.
Blend and Extend: If you have an existing contract, you may be able to blend remaining contract terms with new pricing, potentially improving rates while extending your commitment. Learn more in our article on blend and extend contracts.
Choosing the Right Structure for Your Move
During a business relocation, several factors should influence your plan selection:
- Uncertainty about new location usage: If you're unsure how much energy you'll consume, shorter-term or variable contracts provide flexibility to adjust.
- Move timing: If moving during summer or winter (high-price periods), locking in rates before the move may be advantageous.
- Business financial situation: Relocations are expensive. If cash flow is tight, budget certainty from fixed rates may outweigh potential variable-rate savings.
- Market conditions: Research current wholesale prices and forward curves. Are prices historically high, low, or average? This context informs timing and structure decisions.
For a deeper comparison, see our guide on index vs. fixed pricing for business.
Step-by-Step Guide to Transferring Commercial Utilities
The process to transfer commercial utilities involves multiple parties and requires careful coordination. Follow these steps to ensure a seamless transition.
Step 1: Contact Your Current Utility and Supplier
In Illinois's deregulated market, you likely have separate relationships with your utility (for delivery) and your supplier (for energy commodity). Contact both:
For Your Utility (ComEd, Ameren, etc.):
- Request the final bill for your current location with a specific move-out date
- Ask about transferring your account to the new address if within the same utility territory
- Inquire about any deposits that may be refunded or transferred
- Confirm final meter reading procedures
For Your Energy Supplier:
- Review your contract's relocation provisions—some contracts allow transfer to new locations
- Understand early termination fees if the contract cannot be transferred
- Discuss options for continuing service at the new location
- Get any agreement modifications in writing
Step 2: Establish Service at the New Location
Whether you're staying with your current supplier or selecting a new one, establishing service at your new location requires several steps:
With the Utility:
- Apply for new service at the new address (even if transferring from another location)
- Provide required documentation (business license, lease agreement, tax ID)
- Request the specific service start date aligned with your move
- Understand any deposit requirements for new commercial accounts
- Confirm the service capacity meets your needs
With Your Energy Supplier:
- If transferring your current contract, provide the new account information to your supplier
- If selecting a new supplier, compare offers and complete enrollment paperwork
- Ensure enrollment is processed before your move date to avoid defaulting to utility standard service
- Confirm the contract start date and first bill timing
Step 3: Coordinate Timing Carefully
Timing coordination is critical to avoid either service gaps (leaving you without power) or overlapping service (paying for two locations simultaneously):
- Aim for service start at the new location 1-2 days before your actual move
- Keep service active at the old location until all equipment is removed and the space is vacated
- Account for utility processing times—requests may take 3-5 business days
- Have a backup plan if service activation is delayed
Step 4: Document Everything
Protect yourself by documenting all aspects of the utility transfer:
- Keep records of all phone calls including dates, representative names, and confirmation numbers
- Save email confirmations and written communications
- Photograph meter readings at both locations on move-in and move-out dates
- Retain copies of all contracts, applications, and agreements
Step 5: Verify and Follow Up
After your move, verify that everything is working as expected:
- Confirm service is active and functioning properly at the new location
- Verify your energy supplier enrollment is reflected on your first bill
- Check that your old location service has been terminated
- Review first bills at the new location for accuracy
- Confirm any deposit refunds from your old location are processed
Five Costly Mistakes to Avoid After Relocation
Even with careful planning, businesses often make preventable errors after moving that result in ongoing energy cost problems. Avoid these common pitfalls:
Mistake 1: Accepting Default Utility Rates
If you don't actively enroll with a competitive energy supplier, you'll automatically receive electricity (and potentially gas) at the utility's default "standard service" rate. While not necessarily the highest rate available, default service rarely represents the best value.
In Illinois's competitive market, shopping for supply can yield savings of 10-20% or more compared to default rates. Don't let the chaos of moving lead you to leave money on the table.
Solution: Compare supplier offerings before your move and have a supply contract in place before service begins. If you miss this window, shop for a supplier as soon as possible after moving—you can typically switch at any time.
Mistake 2: Signing Long-Term Contracts Without Understanding New Usage
The excitement of a new location and pressure from sales representatives can lead businesses to sign lengthy energy contracts before truly understanding their consumption patterns. This can lock you into unfavorable terms.
For example, if you commit to a three-year fixed-rate contract based on estimates that prove too high, you may face minimum usage penalties. Conversely, if your usage exceeds projections, you might have negotiated better volume-based pricing.
Solution: Consider shorter initial contracts (6-12 months) or variable rates while you establish baseline usage at the new location. Once you have 6-12 months of actual data, negotiate a longer-term agreement with accurate usage projections.
Mistake 3: Ignoring Demand Charges
Commercial electricity rates typically include demand charges based on your peak power draw during each billing period. A new location may have different demand charge structures than your previous facility, and your operational patterns may create different demand profiles.
Businesses often focus exclusively on energy rates (per-kWh charges) while ignoring demand charges that can represent 30-50% of total electricity costs.
Solution: Understand the demand charge structure at your new location and monitor your demand closely during the first few months. Implement demand management strategies if peaks are creating excessive charges. For more information, see our guide on reducing peak demand for businesses.
Mistake 4: Failing to Update Equipment and Settings
Moving provides an excellent opportunity to optimize equipment and systems, but busy businesses often simply replicate their old setup without considering efficiency improvements.
Common oversights include:
- Not adjusting thermostat schedules for the new location's heating/cooling characteristics
- Keeping old, inefficient equipment rather than upgrading during the move
- Failing to commission building systems properly after installation
- Not training employees on new building controls and equipment
Solution: Treat your move as an opportunity for optimization. Conduct an energy audit of the new space, commission all systems properly, and establish efficient operating procedures from day one.
Mistake 5: Neglecting Ongoing Energy Management
The disruption of moving often breaks good energy management habits. Businesses that carefully monitored consumption and managed costs at their old location may lose focus amid post-move challenges.
Solution: Reestablish energy monitoring and management processes within the first month after moving. Set up utility account access, configure monitoring dashboards, and schedule regular energy reviews. The first year at a new location is particularly important for establishing baseline data and identifying optimization opportunities.
Special Considerations for Illinois Businesses
Businesses establishing or relocating operations in Illinois benefit from the state's competitive energy market but should understand specific local factors.
Understanding Illinois Utility Territories
Illinois has multiple utility territories, and the options available to your business depend on your location:
ComEd (Commonwealth Edison): Serves northern Illinois including the Chicago metropolitan area. The largest utility territory in the state with robust supplier competition.
Ameren Illinois: Serves central and southern Illinois. Good supplier options available, though sometimes fewer than in the ComEd territory.
MidAmerican Energy: Serves portions of western Illinois near the Iowa border. Smaller territory with different competitive dynamics.
Moving between utility territories may require establishing an entirely new utility relationship, even if you maintain the same energy supplier.
Illinois-Specific Programs and Incentives
Take advantage of Illinois-specific programs when setting up your new location:
- Utility Energy Efficiency Programs: Both ComEd and Ameren offer incentives for energy-efficient equipment and building improvements. These programs can offset the cost of upgrades during your move.
- Illinois Solar and Renewable Programs: If your new location is suitable for solar or you're interested in renewable energy procurement, explore Illinois Shines and other renewable incentive programs.
- Demand Response Programs: Some utilities offer bill credits for businesses willing to reduce consumption during grid emergencies. These programs can provide meaningful savings for flexible operations.
Regulatory Considerations
Illinois's energy market is regulated by the Illinois Commerce Commission (ICC), which oversees both utility rates and competitive supplier practices. Key protections for commercial customers include:
- Required disclosure of contract terms and pricing
- Prohibition of deceptive marketing practices
- Established complaint resolution processes
- Oversight of supplier financial qualifications
If you encounter problems with a supplier or utility during your move, the ICC provides resources for commercial customers seeking resolution.
Creating Your Complete Moving Energy Checklist
Use this comprehensive checklist to ensure nothing falls through the cracks during your business relocation:
60-90 Days Before Move
- Gather 12+ months of usage data from current location
- Review current supply contract terms and termination provisions
- Assess new location electrical and gas infrastructure
- Identify utility companies serving the new address
- Research competitive supplier options for new location
- Estimate energy needs at new location
- Begin gathering supplier quotes
30-60 Days Before Move
- Contact current supplier about contract transfer or termination
- Apply for utility service at new location
- Compare and select energy supplier for new location
- Provide required deposits and documentation
- Confirm service start date at new location
- Schedule service termination date at old location
14-30 Days Before Move
- Confirm all service dates with utility and supplier
- Verify account numbers and contact information
- Review first bill estimates for new location
- Plan for demand management at new facility
- Schedule equipment commissioning and optimization
Move Day and First Week
- Photograph meter readings at old and new locations
- Verify service is active and functioning
- Commission HVAC and other major systems
- Set up energy monitoring dashboards
- Train employees on new building systems
First 30-90 Days After Move
- Review first bills for accuracy
- Compare actual usage to projections
- Identify and address any efficiency issues
- Confirm old location service is terminated and deposit refunded
- Establish ongoing energy management processes
- Evaluate whether contract terms remain appropriate
Conclusion: Energy Planning as a Strategic Priority
A business relocation represents both a challenge and an opportunity for energy management. The disruption of moving creates risks—service interruptions, unfavorable contracts, and missed optimization opportunities. But it also provides a clean slate to implement best practices, upgrade systems, and establish cost-effective energy procurement strategies.
By approaching business electricity setup in Illinois with the same strategic attention you give to other aspects of your relocation, you position your business for years of optimized energy costs. The effort invested in proper planning—conducting thorough audits, comparing plan options, and avoiding common mistakes—pays dividends throughout your tenure at the new location.
Remember that energy procurement is not a one-time decision. The contracts you sign today will eventually expire, market conditions will change, and your business needs will evolve. Treat your move as the beginning of an ongoing energy management process, not a box to check and forget.
With proper planning and execution, your business relocation can become the foundation for a more cost-effective and efficient energy future.
Moving Your Business? Get the Right Energy Plan
Don't leave energy planning to the last minute. Explore commercial energy options for Illinois businesses or compare rates for your new location to ensure you start with the best plan for your needs.