Gurnee sparks interest in electric aggregation

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Updated: November 28, 2011 10:09AM

Gurnee has joined the parade of Lake County communities who are considering placing an electric aggregation referendum on their local primary ballot next March.

Village trustees, meeting in a committee-of-the-whole planning session this week, listened to a presentation made by Larry Shover, representing Northern Illinois Municipal Electric Cooperative on how residents and business owners can save significant amounts of money on their electric bills by switching from ComEd to one of the cheaper alternative power companies now competitively available.

The village of Grayslake said its residents and businesses will save $4 million over the next two years by participating in such a voluntary program. Grayslake adopted a required referendum last April by an 80 percent margin, and is now part of a cooperative energy pool with Lincolnwood and Oak Brook to enhance its electrical purchasing options.

Grayslake Village Manager Mike Ellis said the program, which begins Jan. 1, will represent a 30 percent rate reduction from ComEd’s prevailing charges.

Shover said favorable rates like Grayslake’s were made possible because the General Assembly has liberalized its regulatory practices offering the public an opportunity to choose its own power providers. In order to initiate an aggregation (cooperative pooling) program, Shover said it must be initiated and adopted by the voters.

Users can continue purchasing electricity at cost from ComEd, who maintains it does not profit from the sale of electricity, only on its distribution. Or you can opt for a lower-priced alternative energy provider.

ComEd will still distribute the power over its established grid system and continue to repair all power outages. A separate line item on your monthly bill will indicate ComEd’s distribution charge.

Shover suggested some referendum ballot language as follows:

“Shall the Village of Gurnee 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 a program?”

If passed, a municipality, or an electric cooperative such as NIMEC that the village joins, will solicit and compile bids from various alternative power companies for village officials to select. These rates must be lower than those being charged by ComEd or they are automatically rejected, Shover indicated

Trustees generally favored approval for placing the item on the ballot and letting the public decide on the issue. Trustees are expected to approve it at either the Nov. 7 or Nov. 21 board meeting.