The Will Electric Aggregation Group has selected a new supplier with a goal of saving its members – which include Braidwood, Channahon and Coal City – money on electricity bills.
The group entered into a three-year contract with Collinsville-based Homefield Energy. Electric rates for participants in the group will be 6.996 cents per kilowatt-hour for the first 24 months starting in October, and 6.85 cents per kilowatt-hour for the last 12 months.
That is a 6.5 percent savings when compared to the Commonwealth Edison electric rate in October of 7.42 cents per kilowatt-hour.
The Will Electric Aggregation Group was established in 2012 as a conglomerate of municipalities looking for cheaper, more competitive electric rates by buying energy in larger amounts.
“The group gives much better negotiating and buying power,” said Hugh O’Hara with the Will County Governmental League. “With 323,000 people now, the cumulative savings is very beneficial. All those savings will go back into Will County.”
Municipalities participating in the group include Beecher, Bolingbrook, Braidwood, Channahon, Coal City, Crete, Elwood, Frankfort, Homer Glen, Lemont, Lockport, Peotone, Plainfield, Rockdale, Romeoville, Shorewood and Woodridge.
The group bought energy from Ohio-based FirstEnergy Solutions for the past two years. But the company did not respond to a bid sent out for the next contract.
“We sent [bids] out to 48 suppliers,” O’Hara said. “There were very few that would be able to take on a program of our size. Six companies responded, and two of them beat the ComEd price.”
Eligible residential and small business customers wanting to participate in the program do not need to do anything.
Those wishing to opt out of the program will receive a notice from their municipalities and Homefield Energy in the next few weeks with instructions. There are no termination fees.
The Will Electric Aggregation Group noted that residents and small businesses may be solicited by other suppliers in the next few weeks to switch accounts. Unless a notice is explicitly marked as being from the municipality, Homefield Energy or Commonwealth Edison, customers should assume it is not connected to the aggregation program, the group said in a news release.