Algonquin buying power in bulk to save money

subscribe

It's getting pretty expensive to flip that switch to the "on" position.

That's why Algonquin this week joined a local energy cooperative, hoping to save the village government some of your tax dollars by buying electricity in bulk with other towns.

Algonquin now is part of the Northern Illinois Governmental Energy Cooperative, which includes Lake in the Hills, Huntley, Hampshire, Genoa, Johnsburg, Richmond and Woodstock.

As a cooperative, members research and compare energy prices from providers, then settle on one company, said Jack Walde, the village's finance director.

Once providers return with bids, the cooperative's attorneys review them, and the group decides on one company.

The beauty of joining a cooperative is sharing all costs with other members.

Last year, Algonquin picked up the tab when it inked a short-term deal with People's Energy for its own electric rates, Walde said.

Right now, the cooperative is in the midst of finding prices by June good for at least a year.

The figures the group eventually agrees upon are locked in throughout the contract, shielding members from price fluctuations, Walde said.

"With a fixed price, we can better estimate our cost and therefore do our budgets and so forth," he said.

For years, Algonquin was a ComEd town, but in 2007, when officials saw that People's Energy offered prices 30 percent lower, it jumped ship.

But ComEd will continue illuminating Algonquin's traffic signals, streetlights, village hall and public works buildings for free, thanks to a franchise agreement, Walde said.

The company that eventually signs with Algonquin will provide power for water and sewer services; in 2006, that cost $505,900.

Hopefully, the cooperative can save the village some dollars there.

"That's always your goal," Walde said. "We're just looking for an attractive electrical price."

Related News

cal iso map room

Cal ISO Warns Rolling Blackouts Possible, Calls For Conservation As Power Grid Strains

LOS ANGELES - Residents and businesses across Southern California were urged to conserve power Tuesday afternoon as the manager of the state’s power grid warned rolling blackouts could be imminent for some power customers.

The California Independent System Operator (Cal ISO), which manages the state power grid, declared a Stage 2 emergency as of 2:30 p.m., indicating severe strain on the electrical system.

ADVERTISING

Rolling blackouts for some customers could occur in a Stage 3 emergency.

Cal ISO issued a statewide Flex Alert in effect from 3 to 10 p.m. Tuesday and Wednesday, with conservation considered especially critical during those…

READ MORE
nb ev charging network planned

NB Power launches public charging network for EVs

READ MORE

Electricity is civilization": Winter looms over Ukraine battlefront

READ MORE

canada electricity lines

Cleaning up Canada's electricity is critical to meeting climate pledges

READ MORE

brenmiller-energy-and-new-york-power-authority-showcase-thermal-storage-success

Brenmiller Energy and New York Power Authority Showcase Thermal Storage Success

READ MORE