NextEra Energy Inc.’s (NEE - Analyst Report) operating wing NextEra Energy Resources in a move to increase its market share in New Hampshire introduced its electricity services to residential customers. The company has since 2010 offered energy services to only commercial customers in the state.
The company with this step has ventured into the service territory of Northeast Utilities’ (NU - Analyst Report) subsidiary, Public Service New Hampshire (“PNSH”), which is currently one of the key utility service providers in the region.
NextEra Energy is offering a power plan which will lead to 25% more energy savings for customers compared to what PNSH offered as of May 31, 2013. NextEra has been delivering an effective mix of electric service plans including renewable energy with various term lengths in the state.
Although the customers are unaware of the exact savings that would result from this switch, NextEra Energy’s low-cost services will certainly attract attention. The company being a frontrunner in the clean energy business is known to provide utility services at competitive rates.
NextEra Energy’s sizeable asset portfolio enables it to expand its consumer footprint. By adding New Hampshire residents to its service list, the company will likely experience a revenue boost.
NextEra Energy Resources has a solid renewable generating basket and plans to bring around 175 megawatt (MW) of wind assets into operation in 2013 and an overall 900 MW of solar energy services by 2016. The addition of green energy initiatives will allow the company to efficiently serve its increasing consumer base.
Besides PNSH the company will face competition from Unitil Corp. (UTL - Snapshot Report) among others. At present, NextEra Energy retains a Zacks Rank #3 (Hold). However, another utility presently looking good is Zacks Ranked #2 (Buy) ALLETE Inc. (ALE - Snapshot Report).
Based in Juno Beach, Fla., the company is a public utility holding company engaged in the generation, transmission, distribution, and sale of electric energy.