Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

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Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011

Transcript of Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Page 1: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Municipal Electric AggregationKane CountyCommittee of the WholeOctober 25, 2011

Page 2: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Municipal Electric Aggregation

“A method by which municipal or county governments can enter into electricity purchasing agreements on behalf of consumers within their jurisdiction”Bluestar Energy Solutions, 10/2011

Page 3: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

“Consumers”Residents Small Businesses

Small Business = use < 100 KWH

Page 4: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Current Power Purchase Model• Individual Residents Purchase

Energy From Electricity Supplier• Electricity Supplier invoices

residents monthly

Page 5: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Aggregated Power Purchase Model• County Enters into Power

Purchase Agreement with Electricity Supplier on behalf of residents

• Buying in “bulk” allows better rate

• No change to electricity delivery or invoicing

Page 6: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Regulatory Authority

•Public Act 095-0481: Illinois Power Agency Act

•Specifically charged with preparing a detailed plan…

“designed to promote, in the most expeditious manner possible, retail electric competition for residential and small commercial electricity consumers while maintaining safe, reliable, and affordable service.”

• Public Act 096-0176: Amendment authorizing municipal aggregation

Page 7: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Process

Agr. w/ Electric Utility

Consultant

Ordinance to Put Referendum

on Ballot

Referendum

2 Public Hearings

Bids for Electric Supply Contract

Enter Contract

Stop, No Contract

Stop

StopX

Rate betterthan ComEd

Rate not betterthan ComEd

Electric Utility Consultant Assists with Process

X

Page 8: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Who is doing this?

Page 9: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

2011 Results

Source: Illinois Municipal Review; Illinois Municipal League/ Bluestar Energy Solutions; 10/2011

Page 10: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Local Rates – 2011 Contracts

Source: Progressive Energy Group, 2011

Page 11: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Green power purchase• Can specify % green power (wind,

solar)• City of Oak Park – 100% green

power; maintained 25% savings (.0579/ KWH)

• Cost of green power now is low; may get 10% at no extra cost

Page 12: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Potential County Revenue• Common in other states• $/household fee• Can pay for:

▫ Internal county costs to run program

▫ Energy conservation programs• Cities of Fulton & Glenwood have

included revenues• At time of contract with supplier

(after referendum passes)

Page 13: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

Next Steps

Page 14: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

1. Select Consultant• Proposals due tomorrow,

10/26/11• Recommendation to be based

on experience, plan, and fee structure

• Resolution for consultant hire to Exec on 11/2 and County Board on 11/8

Page 15: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

2. Ordinance to place Referendum on March Ballot

• To place referendum on March ballot, ordinance must be approved by Jan 3

• Ordinance to committee in November, County Board in December

Page 16: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

3. Referendum• Referendum language spelled

out in legislation • Election is March 20th 2012

PROPOSITION

Shall the County of Kane have the authority to arrange for the supply of electricity for its residential and small commercial retail customers who have not opted out of such program?

Page 17: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.

4. If Referendum Passes, Implementation

• Public Hearings• Competitive Bid for supplier

Page 19: Municipal Electric Aggregation Kane County Committee of the Whole October 25, 2011.