Aside

Electric Aggregation Fact Check

An anti-electric aggregation flyer has been going around town with many false or misleading claims.  Sarah Kuechler, Management Analyst for the Village of Glenview clears things up in this response.

Information and facts provided in response to a flyer distributed at the September 24 Community Meeting at Glenview Village Hall. The flyer’s statements are in black with information following in blue.

“Illinois is the ONLY state that passed a loophole law to allow the municipalities to make the choice for entire towns.”

The following States have passed Municipal Aggregation laws:

California (AB 117, Enacted – 9/24/2002).California has the first climate-driven municipal aggregation in Marin County; additional aggregations exist in San Francisco and San Joaquin. Aggregations are under consideration in Monterey, Santa Cruz, and San Luis Obispo and in Sonoma and Yolo counties.

Massachusetts (HB 5117, Enacted – 11/25/1997) has the longest-running municipal aggregation – the Cape Light Compact – which serves 200,000 customers in 21 towns, administers energy efficiency programs, and advocates for customers at the legislative and regulatory levels.

Ohio (SB 3 and SB 221, Enacted – 7/6/1999) is home to NOPEC, the nation’s largest CCA with 500,000 customers in 9 counties, has achieved a rate savings of $127 million since 2000.

Rhode Island (H7786, Enacted – 2002) has a single aggregation serving the municipal load of 36 cities, which have saved $18 million in electricity costs since 1999.

New Jersey (PL 2003, CH 24, Enacted – 2003) New Jersey first passed their equivalent of CCA called “Government Energy Aggregation” as part of electricity deregulation in 1999, and 15 communities around Bergen formed a 250,000 member aggregation.

 “Many of the towns are skimming off the top by taking “civic contributions” to balance the town budgets.”

The statement may be true, but irrelevant with regards to the Village of Glenview. The Village is not requesting any civic contributions, and no such contribution is noted in the current draft of the Plan of Governance. Wilmette and Kenilworth, the founding communities in the Lakeshore Power Alliance – a municipal aggregation buying group that Glenview may join if the referendum passes – did not take civic contributions as part of the operation of their aggregation programs.

“You have a Federal right to CHOOSE your own energy supplier, just like phone deregulation.”

 Retail electricity markets are regulated at the State level. Retail choice (or “restructuring”) is the ability for consumers to shop for electricity and choose their own supplier. In Illinois, consumers taking service from Commonwealth Edison and Ameren Illinois Utilities have the right to choose their electricity suppliers as a result of the Illinois Electric Service Customer Choice and Rate Relief Law of 1997 (Public Act 90-561).

The U.S. Department of Energy tracks the status of retail choice in all 50 states at: (http://www.eia.gov/cneaf/electricity/page/restructuring/restructure_elect.html).

To read or download the remainder of the response flyer, click here.

One response to “Electric Aggregation Fact Check

  1. Is this Blog still active? I’d like to speak with the Editors if possible. thx

Leave a comment