Electric Aggregation Information
April 18, 2012
Skokie Mayor George Van Dusen announced on April 17 a new rate for electricity that will yield at least a 41% savings off the current Commonwealth Edison residential electricity rate. This new rate saves residential and small business customers hundreds of dollars annually. The North Shore Electricity Aggregation Consortium ("Consortium"), made up of Skokie, Deerfield, Glencoe, Highland Park, Lake Bluff, Lake Forest, Northbrook and Park Ridge, recently negotiated these savings in one the largest electrical aggregation groups in Illinois.
Over the next three years, MC Squared Energy Services, LLC ("mc²"), the Consortium's selected electricity supplier, will supply power to an estimated 60,000 to 70,000 Consortium customers. Through the Consortium, Skokie locked in electricity rates of 4.836 cents per kilowatt-hour (kWh) through the May 2013 ComEd billing cycle. The current ComEd residential rate is 8.233 cents per kWh. New rates provided through mc² are anticipated to begin in June and July, 2012.
Official correspondence regarding electricity aggregation will be mailed in late April to Skokie eligible residential and small business customers via regular postal service. From that time, customers have 21 days to determine if they want to "opt-out" of the municipal program. Under this "opt-out" program, all residential and small commercial retail customers (those whose annual usage is 15,000 kWh or less) will be switched automatically to mc², unless the customer affirmatively opts-out of the program and chooses to continue service through ComEd or another provider. Residents and small businesses that have already switched to an alternative provider will be able to "opt-in" to the municipal aggregation program; those residents and businesses should contact mc² directly at 888/808-7731 or email at NorthShore@MC2energyservices.com for more information about registration.
mc² responded to the Consortium's request for proposals for electricity aggregation services and was the lowest responsible bidder of seven vendors that submitted proposals. As part of the agreement with mc², the Consortium communities will review electricity rates annually within the 36-month time period to ensure that customers are always receiving a rate that is lower than the ComEd Rate.
On March 20, voters in Skokie approved a referendum authorizing the Village to operate an "opt-out" electricity aggregation program. Through an intergovernmental agreement, the Consortium has been working together since December 2011 and engaged the consulting firm Intelligent Power Partners and the law firm of Holland & Knight LLP to provide professional expertise to the Consortium.
In the future, residents will also have the option to purchase renewable energy resources through a Green Power Program that purchases renewable energy certificates. A letter will be sent to eligible residents and small businesses explaining this option.
To learn more about mc², please visit www.mc2energyservices.com. For additional information please visit www.skokie.org or call Max Slankard at 847/933-8427 or max.slankard@skokie.org.
March 20, 2012
Skokie voters overwhelmingly approved the referendum on the March 20, 2012 primary ballot asking if the Village should be given authority to seek competitive pricing for electricity services and to enter into a single contract for residents and small businesses. A total of 71.06 percent of Skokie voters cast ballots in favor of the referendum, with 28.94 percent voting against.
Many Skokie residents have reported receiving calls from alternative suppliers and have expressed that they do not have all the information they need to make an educated choice regarding their electric service. The Citizens Utility Board (CUB) is a great resource for residents who are evaluating their options. CUB's Guide to Municipal Electricity Aggregation can be found by clicking here. CUB can be reached directly at 800/669-5556.
Skokie is among eight north suburban towns that formed a consortium to work together on potential electricity cost savings, and identical referendum questions were approved in each of the other towns. If the Village of Skokie and other towns are able to secure reduced electrical rates, Skokie residents and small businesses will be included in the new program which will save them money on their electric bills. Residents and small businesses will be able to 'opt out' of the new program if, for some reason, they don't find it beneficial.
Village staff presented an updated report on the consortium's efforts to secure reduced electric supply service rates at the April 2 Village Board meeting.
For more information please see the links below.