City to Negotiate Cheaper Electricity

The City Council and I are constantly seeking ways to relieve the economic burdens faced by our residents and businesses. One way to achieve that goal is through collaboration. 

On Tuesday, by a referendum vote, 75 percent of Highland Park voters asked the City to work to obtain lower electricity rates for its residents and small businesses through an electricity aggregation consortium.

This Friday, March 23, at 8 a.m. the City Council will meet at City Hall to officially authorize the North Shore Electricity Aggregation Consortium ("Consortium") program. 

Consortium Background

Last September, the City agreed to join a group of neighboring municipalities that will work together to secure electricity rates that are lower than current ComEd rates. By joining this Consortium, we hope to negotiate cheaper rates due to the large volume of customers purchasing electricity together. 

All of the other members of the Consortium (Deerfield, Glencoe, Lake Bluff, Lake Forest, Northbrook, Park Ridge and Skokie) also received approval via referendum yesterday and will coordinate rate negotiation efforts together. The result is the greatest volume of possible participants with which to negotiate a lower electricity price. 

Bid Timing

Competitive bids will be sought in the spring with the new rate taking effect in mid- to late-summer 2012. All bids will be compared to ComEd's current rates, and we will only approve a bid that will result in lower electricity prices.

Once the City and the Consortium identify an alternative supplier that can offer better rates, the electricity will still continue to run through ComEd equipment, but the actual energy running through that equipment will be bought more cheaply from another energy source.   

Opt-out Option

Before the electrical aggregation program begins in the summer, all residents and small businesses will receive an opt-out notice in the mail from the City with a deadline date and information on how to opt-out if desired. By using the opt-out option, residents can choose to stay with ComEd or contract with another energy company of their choice. 

No Service Disruption

During the switch to a new supplier, there will be no disruption to service. Thereafter, bills and repairs will still be handled by ComEd.

Need More Information?

Click here for the Highland Park News article on yesterday's municipal electrical aggregation referendum and here for the City's Electrical Aggregation Frequently Asked Questions webpage.

Questions? Contact Emily Palm, Assistant to the City Manager atepalm@cityhpil.com or 847-926-1004.

Nancy Rotering
Highland Park Mayor