{"id":6345,"date":"2016-11-08T14:56:15","date_gmt":"2016-11-08T20:56:15","guid":{"rendered":"https:\/\/www.citizensutilityboard.org\/?page_id=6345"},"modified":"2021-07-12T12:17:32","modified_gmt":"2021-07-12T17:17:32","slug":"electric_municipalaggregation","status":"publish","type":"page","link":"https:\/\/www.citizensutilityboard.org\/electric_municipalaggregation\/","title":{"rendered":"CUB&#8217;s Guide to Municipal Electricity Aggregation"},"content":{"rendered":"<div class=\"wpb-content-wrapper\"><p>[vc_row][vc_column][vc_custom_heading text=&#8221;CUB&#8217;s Guide to Municipal Electricity Aggregation&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h6><strong><span style=\"font-size: 12pt;\"><ul class=\"icon \"><li><i class=\"fa fa-caret-right\"><\/i> <a href=\"https:\/\/citizensutilityboard.org\/wp-content\/uploads\/2018\/01\/MunicipalAggregation.pdf\" target=\"_blank\" rel=\"noopener noreferrer\">PDF version of this fact sheet<\/a><\/li><\/ul><\/span><\/strong><\/h6>\n<p>[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;What Is Municipal (or Community) Aggregation?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column width=&#8221;5\/6&#8243;][vc_column_text]<img fetchpriority=\"high\" decoding=\"async\" class=\"alignright wp-image-24090 size-full\" src=\"https:\/\/www.citizensutilityboard.org\/wp-content\/uploads\/2020\/01\/Municipal-Aggregation-Graphic.jpg\" alt=\"\" width=\"384\" height=\"444\" srcset=\"https:\/\/www.citizensutilityboard.org\/wp-content\/uploads\/2020\/01\/Municipal-Aggregation-Graphic.jpg 384w, https:\/\/www.citizensutilityboard.org\/wp-content\/uploads\/2020\/01\/Municipal-Aggregation-Graphic-259x300.jpg 259w\" sizes=\"(max-width: 384px) 100vw, 384px\" \/>Illinois law allows municipalities and counties to purchase electricity on behalf of residential and small-business utility customers (businesses using no more than 15,000 kilowatt-hours of electricity a year) living within their borders.<\/p>\n<p>Normally, customers get their electricity supplied by a utility \u2014 ComEd or Ameren. But with aggregation, communities are responsible for negotiating the price of power from a supplier other than the traditional utility. Remember, if you are part of a community power deal, ComEd or Ameren would still be responsible for delivering that electricity to your home and billing you for it.<\/p>\n<p>In theory, municipal aggregation allows communities to use the collective bargaining power of their residents to negotiate for lower power prices from suppliers. However, savings aren\u2019t guaranteed. <a href=\"https:\/\/www.pluginillinois.org\/MunicipalAggregationList.aspx\" target=\"_blank\" rel=\"noopener\"><strong>See the list of communities that have moved forward with municipal aggregation at PlugInIllinois.org.<\/strong><\/a><\/p>\n<p>(<strong>Note:<\/strong> Individual ComEd and Ameren customers can also choose an alternative electricity supplier on their own. However, CUB has heard many complaints from people who have signed up for offers that turned out to be bad deals. Beware of bad deals peddled door-to-door, over the phone or via mail. See CUB\u2019s fact sheets on our <a href=\"https:\/\/www.citizensutilityboard.org\/electric\/\"><strong>Electric page, at CitizensUtilityBoard.org<\/strong><\/a>.)[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_separator color=&#8221;custom&#8221; css=&#8221;.vc_custom_1475699797969{background-color: #0f4b91 !important;}&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;Will I be Automatically Billed at My Community&#8217;s Rates?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]Yes, unless you opt out of the program. If a community passes a referendum approving electricity aggregation, local officials will then put out a request for proposals (RFP) and select a winning bid. Then, officials may hold a community hearing to get feedback and input from residents.<\/p>\n<p>If a community fails to pass a referendum but still chooses to move forward, the program would be \u201copt in,\u201d where residents are not enrolled until they sign up. In any case, consumers always have the option of paying their utility\u2019s default supply price.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_separator color=&#8221;custom&#8221; align=&#8221;align_left&#8221; css=&#8221;.vc_custom_1475699807900{background-color: #0f4b91 !important;}&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;Do I have to participate in community aggregation?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]No. Residents who don\u2019t wish to participate have multiple opportunities to \u201copt out\u201d of the program:<\/p>\n<p>1. When the community sends out an initial letter notifying residents that their electricity supplier will change, and;<\/p>\n<p>2. When the utility sends customers a letter notifying them that their electricity supplier has changed. After receiving the utility notification, residents generally have 10 days to opt out. So, even if your community passes a referendum, you don\u2019t have to participate in municipal aggregation if you don\u2019t want to.<\/p>\n<p>Even if you miss these two opportunities, you can get out of a community power deal at any time, and thanks to new consumer protections passed in Illinois, you shouldn\u2019t have to pay an exit fee. If you want to exit a community power deal, call the company listed on the supply section of your ComEd or Ameren bill.<\/p>\n<p>Note: Because residents are automatically switched (unless they opt out), beware if a sales rep for an alternative supplier comes to your door and claims to want to sign you up for your community\u2019s power deal. Don\u2019t sign anything or give out your power bill or account number. This could be a dishonest representative for another alternative supplier trying to lure you away from the community power deal. Municipal aggregation deals aren\u2019t sold door-to-door.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_separator color=&#8221;custom&#8221; align=&#8221;align_left&#8221; css=&#8221;.vc_custom_1475699807900{background-color: #0f4b91 !important;}&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;Who Do I Call If the Power Goes Out?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]Even if you choose to participate in municipal aggregation, your utility\u2014ComEd or Ameren\u2014is still responsible for delivering the electricity you purchase to your doorstep. So if the power goes out in your home, you should call your utility.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_separator color=&#8221;custom&#8221; align=&#8221;align_left&#8221; css=&#8221;.vc_custom_1475699807900{background-color: #0f4b91 !important;}&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;Will I Get Two Bills?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]With most community power deals, if not all, consumers will continue to get a single bill from their utility. Ask your local leaders for more details.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_separator align=&#8221;align_left&#8221; css=&#8221;.vc_custom_1476909084782{background-color: #0f4b91 !important;}&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;Will Aggregation Lower My Electric Bill?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]Whether or not residents get lower electricity rates depends on the contract their community negotiates. If not, residents can exit the program.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_separator align=&#8221;align_left&#8221; css=&#8221;.vc_custom_1476909084782{background-color: #0f4b91 !important;}&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;What Happens If I&#8217;m Already Enrolled With an Alternative Electricity Supplier?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]So far, most communities have separated out individuals who are already under contract with an alternative supplier. It\u2019s wise to check with local officials to learn what the process will be. The rate you\u2019re offered through municipal aggregation may be better than what your current supplier is offering. If you switch, however, you may have to pay an exit fee.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_separator align=&#8221;align_left&#8221; css=&#8221;.vc_custom_1476909084782{background-color: #0f4b91 !important;}&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;If I&#8217;m a Hourly Pricing or Power Smart Pricing Customer, Will I Be Able to Stay With the Program if I Opt for Municipal Aggregation?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<a href=\"https:\/\/www.citizensutilityboard.org\/wp-content\/uploads\/2019\/02\/ComEdHourly.pdf\" target=\"_blank\" rel=\"noopener noreferrer\"><strong>ComEd&#8217;s Hourly\u00a0Pricing<\/strong><\/a> and <a href=\"https:\/\/www.citizensutilityboard.org\/wp-content\/uploads\/2017\/01\/AmerenPowerSmart.pdf\" target=\"_blank\" rel=\"noopener noreferrer\"><strong>Ameren&#8217;s Power Smart Pricing<\/strong><\/a> programs allow customers to pay hourly market electricity prices, rather than the utilities\u2019 fixed rates. Consumers who can shift high-energy usage activities like laundry or running the dishwasher to off-peak hours benefit the most. In fact,\u00a0 participants have lowered the supply portion of their power bills by an average of about 15 percent.<\/p>\n<p>To date, no municipal power agreements or individual alternative supplier plans offer hourly\u00a0pricing options, so if you would like to enroll or stay enrolled in hourly\u00a0pricing, you\u2019ll have to stick with your utility.<\/p>\n<p>Just like customers who are already enrolled with alternative suppliers, Hourly\u00a0Pricing and Power Smart Pricing customers will likely be filtered out when residents are switched over to the community\u2019s negotiated power supplier. Still, it\u2019s an important detail to check.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_separator color=&#8221;custom&#8221; align=&#8221;align_left&#8221; css=&#8221;.vc_custom_1475699807900{background-color: #0f4b91 !important;}&#8221;][vc_column_text css=&#8221;.vc_custom_1578690773035{padding-top: 35px !important;padding-right: 35px !important;padding-bottom: 35px !important;padding-left: 35px !important;background-color: #cccccc !important;}&#8221;]<span style=\"font-size: 18pt;\">Checklist: What Everyone Should Know About Municipal Aggregation<\/span><\/p>\n<p><strong>What price is the supplier offering and how does it compare with the utility\u2019s price?<\/strong><br \/>\nWhile it is a basic question, it is the key question for consumers: Will I save money with municipal aggregation? Ask community leaders to be clear about the price being offered and compare it with your utility\u2019s \u201cprice to compare.\u201d Also, find out if the alternative supplier promises to meet or beat the utility\u2019s price over the course of the contract, as some have.<\/p>\n<p><strong>Do I have to pay a monthly fee?<\/strong><br \/>\nMost community power deals do not charge a monthly fee, but that\u2019s always a good question to ask, because a monthly fee can inflate the electricity rate you pay.<\/p>\n<p><strong>What happens when my community\u2019s power contract ends?<\/strong><br \/>\nAfter your municipality\u2019s agreement with an alternative supplier runs its course, will you automatically return to your utility\u2019s rates, or will you become a customer of the alternative supplier your community contracted with? Check with your community leaders to find out.<\/p>\n<p><strong>Will my community factor energy efficiency into its power contract?<\/strong><br \/>\nReducing power usage, especially during peak hours, reduces electricity costs for everyone. Find out what energy efficiency and demand-response measures, if any, your community plans to include in its contract with an alternative supplier.<\/p>\n<p><strong>Is the community power deal a \u201cgreen\u201d plan?<\/strong><br \/>\nMany alternative power suppliers offer \u201cgreen\u201d plans. That means the company will take some of your money to buy Renewable Energy Certificates, or RECs, which ensure that a certain percentage of the power consumed will be put back onto the grid by renewable energy sources, like wind and solar power. Find out if your community power deal is a green plan and if it will cost you extra. Green plans are a legitimate choice. Just remember, even if you purchase \u201cgreen energy\u201d from an alternative power supplier, it doesn\u2019t mean the actual electricity you consume is from a renewable energy source\u2014it just means that clean energy is added somewhere to the power grid.<\/p>\n<p><strong>Are consultants advising my community, and if so, what fee(s) are they charging?<\/strong><br \/>\nMany communities obtain a consultant to seek out and negotiate power prices on behalf of residents. These consultants charge fees\u2014taxpayer dollars\u2014for their services. Make sure your municipality\u2019s consulting fees, if any, won\u2019t eat up your electric bill savings.<\/p>\n<p><strong>Does my community plan to accept fees from the alternative supplier it chooses?<\/strong><br \/>\nSome communities take fees from alternative suppliers. If your community is considering such a move, ask local leaders how that impacts the price offered and what they plan to do with the extra money.[\/vc_column_text][\/vc_column][\/vc_row]<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>[vc_row][vc_column][vc_custom_heading text=&#8221;CUB&#8217;s Guide to Municipal Electricity Aggregation&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text] [\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;What Is Municipal (or Community) Aggregation?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column width=&#8221;5\/6&#8243;][vc_column_text]Illinois law allows municipalities and counties to purchase electricity on behalf of residential and small-business utility customers (businesses using no more than 15,000 kilowatt-hours of electricity a year) living within their borders. Normally, customers get their electricity supplied by a utility \u2014 ComEd or Ameren. But with aggregation, communities are responsible for negotiating the price of power from a supplier other than the traditional utility. Remember, if you are part of a community power deal, ComEd or Ameren would still be responsible for delivering that electricity to your home and billing you for it. In theory, municipal aggregation allows communities to use the collective bargaining power of their residents to negotiate for lower power prices from suppliers. However, savings aren\u2019t guaranteed. See the list of communities that have moved forward with municipal aggregation at PlugInIllinois.org. (Note: Individual ComEd and Ameren customers can also choose an alternative electricity supplier on their own. However, CUB has heard many complaints from people who have signed up for offers that turned out to be bad deals. Beware of bad deals peddled door-to-door, over the phone or via mail. See CUB\u2019s fact sheets on our Electric page, at CitizensUtilityBoard.org.)[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_separator color=&#8221;custom&#8221; css=&#8221;.vc_custom_1475699797969{background-color: #0f4b91 !important;}&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;Will I be Automatically Billed at My Community&#8217;s Rates?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]Yes, unless you opt out of the program. If a community passes a referendum approving electricity aggregation, local officials will then put out a request for proposals (RFP) and select a winning bid. Then, officials may hold a community hearing to get feedback and input from residents. If a community fails to pass a referendum but still chooses to move forward, the program would be \u201copt in,\u201d where residents are not enrolled until they sign up. In any case, consumers always have the option of paying their utility\u2019s default supply price.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_separator color=&#8221;custom&#8221; align=&#8221;align_left&#8221; css=&#8221;.vc_custom_1475699807900{background-color: #0f4b91 !important;}&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=&#8221;Do I have to participate in community aggregation?&#8221; font_container=&#8221;tag:h2|font_size:24|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]No. Residents who don\u2019t wish to participate have multiple opportunities to \u201copt out\u201d of the program: 1. When the community sends out an initial letter notifying residents that their electricity supplier will change, and; 2. When the utility sends customers a letter notifying them that their electricity supplier has changed. After receiving the utility notification, residents generally have 10 days to opt out. So, even if your community passes a referendum, you don\u2019t have to participate in municipal aggregation if you don\u2019t want to. Even if you miss these two opportunities, you can get out of a community power deal at any time, and thanks to new consumer protections passed in Illinois, you shouldn\u2019t have to pay an exit fee. If you want to exit a community power deal, call the company listed on the supply section of your ComEd or Ameren bill. Note: Because residents are automatically switched (unless they opt out), beware if a sales rep for an alternative supplier comes to your door and claims to want to sign you up for your community\u2019s power deal. Don\u2019t sign anything or give out your power bill or [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"inline_featured_image":false,"footnotes":""},"class_list":["post-6345","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/www.citizensutilityboard.org\/wp-json\/wp\/v2\/pages\/6345","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.citizensutilityboard.org\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.citizensutilityboard.org\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.citizensutilityboard.org\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/www.citizensutilityboard.org\/wp-json\/wp\/v2\/comments?post=6345"}],"version-history":[{"count":0,"href":"https:\/\/www.citizensutilityboard.org\/wp-json\/wp\/v2\/pages\/6345\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.citizensutilityboard.org\/wp-json\/wp\/v2\/media?parent=6345"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}