ppt community choice aggregation public hearing for pog 4.3.12
DESCRIPTION
Public Hearing on POGTRANSCRIPT
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Catherine HurleySustainable Programs Coordinator
Electricity Aggregation
Public Hearing on Plan of Operation and Governance
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• “Consumer Choice Act” - de-regulates energy in Illinois– Delivery: provided by ComEd – Supply: consumers can choose alternate
retail electricity suppliers (ARES)
• “Illinois Power Agency Act” – Municipality to aggregate residential and small retail business customers– Goals: cost savings and specify energy mix
Electricity Aggregation Introduction
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Aggregation ProcessMarch 20, 2012
Referendum
Competitive Proposal Process
Select Alternate Retail Supplier
New Energy Supply Begins
Referendum Passes with 73%
Option for customers to opt-out of aggregation
Proceed If Proposals are Favorable
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Competitive Selection Process
Phase 1Pre-Qualify Suppliers
Phase 2Develop Aggregation Plan and Policy
Phase 3Request Proposals & Select Supplier
Two Public Meetings to obtain input
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• Required under Illinois Public Act 096-0176• Legal notice published in Evanston Roundtable• Requires public hearing for comment on Plan of
Governance (POG) document• Public Hearing Schedule
– Tuesday, April 3rd Civic Center, City Council Chamber– Wednesday, April 4th Levy Senior Center, Linden
Room– Monday, April 9th Civic Center, Room 2200
Public Hearing
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• Required for electrical aggregation
• Developed by city staff and Utilities Commission in compliance with State Statute 20 ILCS 3855/1-92
• Draft posted on city website March 21st
• Allows for any residents to opt-out and choose their own supplier
Plan of Operation and Governance
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1. Purpose of Electricity Aggregation Program and Services2. Bidding/Contract Procedures3. Determination of Rates and Other Charges4. Contents of the Bid5. Determination of Eligible Customer Pool6. Opt-Out Process7. Customer Classes Included8. Billing Procedures9. Credit/Deposit Requirements10. Procedures for Handling Customer Complaints and Dispute
Resolution11. Moving Into the City12. Moving Within the City and Maintaining the Same Account
Number13. Joining the Aggregation Group after Opting-Out14. Reliability of Power Supply15. Supplier Qualification Process16. Miscellaneous
Plan Table of Contents
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• Goal - reduce cost for electric supply and gain favorable terms
• City can accept or reject any bid
• ComEd continues to deliver electricity
• All rates, charges and terms will be disclosed at start of program
• Opt out process
• Rescission period
Plan Overview
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• Plan specifies energy mix and contract term
• Staff recommends prices requested for several energy supply mixes:– Lowest Price Mix – 75% Renewable – REC supported mix– 100% Renewable – REC supported mix
• Staff recommends prices requested for 12 and 24-month terms
Energy Supply Mix and Term
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• Moving– Retain electric service under same rate if
moving within the City– Option to join program if moving into the city,
same rate not guaranteed
• Early Termination fee– None if relocate outside the City– None if switching back to ComEd– City to negotiate on early termination fee if
member switches to another ARES
Plan Rates and Fees
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• Agreement with ARES will terminate at end of the term or if one party terminates early
• At the termination of the contract, options include:– City to conduct competitive process to select
ARES for another fixed term OR– City to end aggregation program
• Members to go back to ComEd or choose another supplier
Supply Agreement Termination
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Members of the public are welcome to make comments on the Plan of Operation and Governance.
Public Feedback
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Thank You
Electricity Aggregation
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Indicative Pricing Results
Energy Mix
Contract Term
12 month 24 month 36 month
Average Price $ per kWh
IL RPS Compliant (6%) $0.04410 $ 0.04711 $0.05297
75% Renewable Energy $0.04514 $ 0.04831 $0.05433
100% Renewable Energy $0.04549 $ 0.04870 $0.05477
Summary of Average Prices
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Indicative Pricing Results
Contract Term Option % Difference
12 to 24 month 7%
12 to 36 month 20%
Summary of Average Price Differential: Price Terms
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Indicative Pricing Results
Summary of Average Price Differential: Energy Mix
Renewable Energy Option % Difference from
IL RPS Compliant (7%)
25% 0.80%
50% 1.64%
75% 2.49%
100% 3.31%