By 1808Delaware
According to the City of Delaware, its Electric Aggregation program, established in mid-2023, has delivered substantial savings to local residents and small businesses. Participants have enjoyed significant reductions in their electric bills, demonstrating the program’s efficacy and community impact. It recently relayed the following.
Impressive Savings Across the Board
Since its implementation, the Electric Aggregation program has brought notable financial benefits to participants. According to recent reports:
- AEP Ohio Customers: The average customer has saved over 36%, amounting to more than $300 in savings on electric generation supply compared to AEP’s default generation rate.
- Ohio Edison Customers: Participants have seen over 34% in savings, translating to a little over $290 compared to Edison’s default rate.
These savings have collectively kept more than $3.2 million within the community, providing a significant economic boost.
Voter and Council Support
The program’s journey began with strong community backing. In 2022, voters in the City of Delaware approved the Electric Aggregation program, paving the way for the City Council to pass an ordinance adopting the initiative. This support reflects the community’s commitment to more affordable and sustainable energy solutions.
How Electric Aggregation Programs Work
Electric aggregation programs, also known as Community Choice Aggregation (CCA) or Municipal Aggregation, allow local governments to negotiate electricity supply rates on behalf of their residents and small businesses by combining their collective purchasing power. Here’s how they typically work:
- Negotiation: The local government (city, town, county) negotiates a competitive electricity supply rate with an approved supplier on behalf of its residents and small businesses.
- Automatic Enrollment: Eligible customers within the community are automatically enrolled in the program but can opt out at any time without penalty.
- Single Bill: Customers continue to receive just one bill from their utility company, which includes the negotiated supply rate and the utility’s delivery charges.
- Utility Role: The utility still handles power delivery, maintenance, and outages – only the electricity supply portion is provided by the chosen supplier.
Partnering with Dynegy
The City selected Dynegy, a certified retail electric provider and independent power producer, as the preferred electric supply provider for residents and small businesses. Dynegy, with its office in Cincinnati, began serving the community from the July 2023 billing cycle and will continue through the June 2025 billing cycle. Dynegy’s proven track record and expertise in the energy sector have been pivotal in achieving these savings.
Learn More and Join the Program
Residents and small businesses interested in joining the Electric Aggregation program can find more information about eligibility and benefits by visiting the City of Delaware’s official website. The program aims to make energy more affordable while promoting community savings and sustainability.
For detailed reports on the program’s performance, read both the AEP and Ohio Edison quarterly reports available here.
