# How Does OhmConnect Make Money?

> To understand how OhmConnect makes money it helps to know a bit about energy markets   In California and New York there are regional energy markets where ener

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Last updated: 2026-01-15T19:56:50.918Z

## To understand how OhmConnect makes money, it helps to know a bit about energy markets. 

In California, there are regional energy markets where energy is traded. These markets provide a trading mechanism for buying and selling energy both for short term and long term planning. Multi-year planning is required to ensure that the region has the right development of infrastructure, as well as minute-by-minute planning to provide a balance of supply and demand, and ultimately to avoid rolling blackouts. 

That’s where we come in. OhmConnect trades energy in these markets like a power plant.  

### Bidding 

We bid a quantity of energy at a specific price and if the market accepts our bid, we are contracted to deliver that energy. Most markets use an auction to settle bids, and our bids are accepted based on how they rank relative to other bids. Auctions might occur years, days, or minutes in advance. We work hard to simplify this complex system by consistently delivering OhmHours and AutoOhms to our members. Behind the scenes we use automated bidding, data analysis, machine learning and experimentation to match OhmHours with our commitments to the market.

### Pricing 

The price of an OhmHour is based on the various prices provided to us by the energy market. The energy delivery is measured based on the forecasted energy use of our members versus their actual usage. Overall, we aim for an 80/20 split of revenue annually but that doesn't always happen on a per OhmHour basis. We get paid at various intervals (daily, monthly, annually) with complex rules and do our best to create a fun and easy experience for our members that is both straightforward and rewarding. In other words, we don't want our members to have to learn about locational marginal pricing, proxy demand resources, load point adjustments or any of the other myriad complexities necessary to participate in the energy market. 

### Our Commitment to our Members

OhmConnect would not be possible without the collective energy saving efforts of our members, therefore, championing our members is our greatest priority. A couple examples of this:  
  

*   We do not get paid for solar members that are net generators, yet we still pay them because we believe their values align with our overall mission.   
      
    
*   We always pay more than the retail price of energy, even when we are getting paid less.