Gexa Energy’s Market Index products allow businesses to purchase their commodity based on either a Day-Ahead Index basis or a LMP Index (Locational Marginal Pricing) basis. This product is for businesses with the appetite to float on an index rate with the goal of making better buying decisions in the wholesale and technological markets as opportunities present themselves
How Market Index Pricing Works
- The Local Marginal Pricing Index fluctuates up and down every hour of the day
- Each hour your usage is determined and then multiplied by the applicable index rate
Risk Level
- Day-Ahead Index is a little less volatile than the LMP, but typically costs more over time
- LMP Index presents the most price volatility, but typically costs the least over time
Product Overview
Product |
Our Market Index product is based on the day-ahead or real-time index market, which vary in price every hour or the day. |
Features |
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Contract |
Up to 96 months or longer for credit approved customers |
Potential |
Price volatility risk is high |
Advantages |
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Depending on your energy buying risk tolerance, a market index energy plan may not be ideal if your risk tolerance is low. In that case, our Energy Optimization Approach and/or Managed Product may be a better fit.
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Today’s commercial energy and sustainability strategies must include deeper insight. Our high-powered analytics tool can reveal cost-effective energy solutions for your organization.
Managed Product
Our comprehensive energy management plan for the sophisticated energy manager allows full flexibility and freedom to harness market opportunities and mitigate risk.
Renewables & Reliability
Meet corporate sustainability goals through planning, reporting and renewable energy sources, and ensure energy reliability in your operations with our unique service offerings.
All Commercial products are subject to specific terms and conditions in applicable customer agreements. Certain components of Fixed Price products may fluctuate, and certain changes may be separately billed or passed through to customer, including utility charges and taxes. Gexa Energy makes no representation or warranty as to actual product prices or the direction, trend, movement level or range of product prices, wholesale or retail electricity or natural gas prices, and customer is relying on its own judgment and upon advice from advisors as it deems necessary, and is solely responsible for determination of its risk tolerance for any product and its decision to purchase any product and related risks. No communication--oral, written or electronic--from Gexa Energy will be deemed to be representation, assurance or guaranty as to the expected service or performance of any product. Gexa Energy operates through various affiliated entities.