City leaders consider dropping electric aggregation plan

By Erica Quednau |

Published 04/22 2014 03:38PM

Updated 04/22 2014 05:21PM

CHAMPAIGN -- City leaders are wondering if their municipal electric aggregation program is worth it since people with Ameren have been paying less the past two months than what people on the negotiated rate have been. The city signed up to buy electric in bulk almost two years ago. The point was to save residents money, which it has been doing, but that could change soon.

People have saved about $1.6 million, but since the city signed up for Integrys, Ameren lowered its rates. Right now, they're about the same price people are paying with the aggregation program. Plus, the program is set to expire in June, so city officials are looking into setting a new rate.

But so far, Integrys and other companies aren't looking like money savers. No matter what the council decides, people will receive a letter explaining the situation and letting them know what they need to do from here.

City leaders are talking about the issue at a Tuesday night study session. They'll let public works know which option to pursue; either continuing with the program or ending it.

While Champaign may end its electric aggregation program, it's just about to start in Urbana. The city landed a two-year deal with Homefield Energy to supply electricity. It takes effect in June. This week, home and business owners are getting letters in the mail to inform them of the switch.

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