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Municipal Aggregation

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1. What is Municipal Electrical Aggregation?

On August 10, 2009, Governor Quinn signed into law Public Act 096-0176, which allows municipalities to arrange for the provision of electricity to residential and small commercial retail customers by alternative electric suppliers (i.e., suppliers other than ComEd). Under the new law, the City may seek bids for the provision of aggregate electricity supply services to these customers, in hopes that the selected rate will be lower than the standard rate offered by ComEd. Municipal Electric Aggregation permits the City to combine the retail electric loads of customers, thereby leverage the buying power of thousands of residents and small businesses. This combined buying power typically provides lower, more stable rates from suppliers.

2. Why was a Referendum ballot issue scheduled?

Under the new law, the City sought voter direction on whether or not to pursue proposals from electric power suppliers for residents and small businesses under a single contract. The City could only pursue the process of electrical aggregation on behalf of Warrenville residents and small businesses if voters approved the measure via Referendum, which they did in March 2012. Ordinance 2684 Providing for the Referendum

3. How did the Referendum pass?

The Referendum had to be answered in the affirmative by the majority of registered Warrenville voters who answered the question on the March 20, 2012, General Primary Election ballot. Certified Election Results

4. What happened when Warrenville voters approved the Referendum?

When voters approved the Referendum, the City began the process of developing documents and seeking proposals from electric power suppliers. If resulting prices were lower than current prices from ComEd, the City Council could accept the lowest, most responsible proposal. Since electric power prices would be lower, Warrenville residents’ and small businesses’ monthly electric bills could be reduced.

5. What would have happened if Warrenville voters didn't approve the Referendum?

If voters hadn't approved the Referendum, Warrenville residents’ and small business’ electric power supply would continue to be provided by ComEd, with the exception of those residents and businesses that had chosen to “opt in” to a program with an alternative power supplier on their own. These “opt in” programs also continue to be available to Warrenville residents on an individual basis.

6. Now that savings aren't as much, what is the benefit to aggregation?

1. One fixed rate provides an easy-to-understand benchmark: The ComEd rate consists of three individual billing items in which two are re-set twice a year, and the other varies every month. As such, customers can’t know exactly what the ComEd rate is in any given month. The City’s aggregation program offers an easy-to-understand rate, against which informed residents can readily compare other offers.

2. Provides maximum flexibility: Since the City's aggregation program has no early termination fee (unlike many individual contracts), residents are free to come and go with no restrictions and no charges.

3. Supports renewable “green” energy sources. Renewable Energy Credits (RECs) for 100% of electric usage by program participants supports “green” electric generation from renewable sources such as hydro, wind, solar and methane gas, etc.

7. What do I have to do to participate?

Nothing. Once the Referendum passed, all eligible residents and small businesses had their electric power accounts bundled into a single account. You would not receive an additional bill from the new electric power supplier. You would still be a customer of ComEd’s electric power transmission and delivery services and your new electric power rate would simply be reflected on a separate line. ComEd would serve as a “pass-through” for payment of your electric power rate.

8. What if I don’t want to participate in the program?

Following completion of the process and the awarding of a contract to a third party electric power supplier, you and all eligible Warrenville electric customers would receive an “opt-out” option notice in the mail. The “opt-out” notice would list a date by which you must “opt-out” of the program and you would stay with your current electric power supplier (ComEd or another third party supplier). Residents currently using a third party electric power supplier or residents moving to Warrenville from outside the community would not be automatically included; they would have to “opt in”. Once the program beings, you may leave it at any time by calling the supplier. There is no early termination fee.

9. What if I already have a contract with a third party electric supplier?

If you have already entered into a contract with a third party electric power supplier, but want to enroll in the City’s program, you may still “opt in” to the City’s competitively bid rate, but only within the structure of the existing contract of your current provider.

In addition, unlike those customers who are still receiving their electricity supply from ComEd, you will not be automatically switched over to the new electric power supplier. You may also be subject to early termination fees or other restrictions with your current provider. It is best to check with your provider to better understand any restrictions or policies that might apply, should you decide to “opt in” to the City’s program.

10. When would the City solicit proposals from a third party supplier?

The City bid in mid-summer 2012 and again in June 2014. State law requires certain steps be followed to approve and implement a Municipal Electrical Aggregation Program. Warrenville held two public hearings, passed an ordinance approving the program, and created and adopted a Plan of Governance. Once all of the requirements were met, the City’s industry consultant sought competitive bids from third party electric suppliers through a Request for Proposals process. Plan of Governance

11. Will Aggregation affect my municipal utility tax?

No. Your utility tax is assessed by kilowatt hour (kWh) usage, not by rates.

12. How long would the City’s contract with a third party supplier be?

The City had the option to explore a 1 year, 2 year or 3 year contract with a third party electric power supplier. The term of the contract was included in bids received through the RFP process. During the first program in 2012, the City Council decided to enter into a 2 year contract with a rate guarantee that if the ComEd rate fell below the third party rate, the third party supplier would have to lower their rate to the new ComEd rate. Beginning with the second program in 2014, matching the ComEd rate was no longer an option provided by suppliers through the bidding process. The City Council recently entered into a 2-year contract that will hold the low bid price throughout the term of the agreement.

13. I own a small business in Warrenville. Am I eligible to participate in the program?

You may be. The Public Act designates that small business customers are those which use less than 15,000 kWh of power per year. Illinois Power Agency Act

14. What if my power goes out, who will I need to call to have it restored?

ComEd is responsible for ensuring that electricity flows through its distribution network to all homes and businesses in Warrenville. Municipal Electrical Aggregation will not change how ComEd responds to power outages. Outages would still be reported to 1-800-EDISON-1.

ComEd urges customers to contact the utility immediately if they are experiencing a power outage. To report an outage, customers can call 800-EDISON1 (800-334-7661), or report it through their website or Facebook. Spanish-speaking customers should call 800-95-LUCES (800-955-8237).

Customers can text OUT to 26633 (COMED) to report their outage and receive restoration information. Customers also can follow us on Twitter or on Facebook to stay up to date on the latest ComEd storm restoration information. ComEd has also introduced a mobile app for iPhone and Android smart phones that gives customers the ability to report power outages and manage their accounts. ComEd Website

15. Is the Aggregation Program available to those residents who use space heaters?

No. Residents using a space heater to heat their homes are on a subsidized rate through ComEd and would not be eligible to participate in an aggregation program.

16. I’ve received mailings from electric retail suppliers offering lower electricity rates now. What should I do?

That is up to you. There are three options available to customers under this program:
a) Take no action. Residents and small businesses may continue to receive the electric power rate from Exelon and make no changes to their electricity supplier.
b) Opt-In Aggregation. This is available today to residents and small business owners. You may contact third-party electricity suppliers and bid the rates for their own individual electrical accounts.
c) Opt-Out Aggregation. The City of Warrenville combined the retail electric loads of eligible customers into one account in order to receive a reduced electricity rate. The City then entered into a contract with a third party electric supplier.

17. I am located in Warrenville City limits, and have already switched to another Supplier, but would like to join the program. Can I do this?

Yes. Contact Dynegy Energy directly at 844-351-7691 for information about how to enroll. We suggest you check your contract to review any early termination fees you may be liable for with your current supplier. You may wish to wait for your current contract to expire before enrolling in the aggregation program. You may join the program at any time during the two-year contract, for no fee.

18. What is the new rate from Eligo Energy?

7.515 cents per kWh for one year beginning in October 2020.

19. What is the current ComEd rate?

Visit http://www.pluginillinois.org/FixedRateBreakdownComEd.aspx. The ComEd rate can fluctuate month-to-month, depending upon the variance of the PEA.

20. I already have electric service with this supplier at a different rate. How can I join the aggregation program to get this new rate?

Call Dynegy Energy at 844-351-7691 for information about how to switch to the more favorable rate negotiated on your behalf by the City of Warrenville.

21. Will someone come to my home or call to sign me up?

No. You need do nothing to automatically be enrolled in the program. No one from Dynegy or the City will call your home or come to your door to enroll you in the program. If someone calls or visits your home claiming to be the City’s power supplier, please report such activity to City Hall at (630) 393-9427 or cwhite@warrenville.il.us or file a complaint with the ICC at http://www.icc.illinois.gov/consumer/complaint.

22. If I go back to ComEd, do I have to stay with them for 1 year? What is their bundled hold requirement?

No. Effective October 9, 2014, ComEd removed is Bundled Hold requirement from its switching rules. The new policy will allow customers to select a new supplier without the minimum stay restrictions. The standard switching rules continue to apply meaning that customers switch on their meter reading date that is at least 18 days in the future. If there are less than 18 days until the next meter reading date, the customer will switch on the meter reading date one month later. Customers are still unable to return to the same supplier that they left; this restriction has been reduced to a six-month period.

23. I understand that Warrenville's 100% green energy is in the form of a REC - what is that?

A Renewable Energy Certificate (REC) is a tradable environmental commodity used in North America to represent proof that one megawatt-hour (MWh) of electricity was generated by an “eligible” renewable energy resource. More information can be found at this link: REC FAQ

24. If I have questions, what number do I call?

Contact Dynegy Energy directly at 1-844-351-7691.