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TeachMeFinance.com - explain Exchange, electricity Exchange, electricity A type of energy exchange in which one electric utility agrees to supply electricity to another. Electricity received is returned in kind at a later time or is accumulated as an energy balance until the end of a specified period, after which settlement may be made by monetary payment. Note - This term is also referred to as exchange energy. About the author Mark McCracken Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English". Copyright © 2005 by Mark McCracken, All Rights Reserved. TeachMeFinance.com is an informational website, and should not be used as a substitute for professional medical, legal or financial advice. Information presented at TeachMeFinance.com is provided on an "AS-IS" basis. Please read the disclaimer for details.