Glenview is considering extending its electric aggregation program another year, hoping to get better prices than from Commonwealth Edison.
In a report to village trustees, Sarah Kuechler, assistant to the village manager, said the current three-year contract with Lakeshore Power Alliance ends in May.
The alliance, formed in 2012, consists of Glenview, Wilmette, Kenilworth and Northfield, and its purpose was to join villages to secure lower electrical rates by buying in bulk.
Since 2013, reduced costs have been significant, showing a $4 million savings for Glenview residents, or an average of $280 per customer, she said.
However, estimated savings from June 2014 to May 2015 were only 5 percent.
“The savings have continued to narrow. ComEd has been deregulated for flexibility, and rates have been brought down,” Kuechler said. “We do feel minimal savings when compared to ComEd.”
Furthermore, Village Deputy Manager Don Owen said market changes have made the electrical supply industry more competitive, thus creating more equal pricing for ComEd.
“We always felt market force changes would stabilize, and that’s what experts told us,” he said. “And we’ve been able to save our consumer residents $4 million.”
Owen said a final contract rate with an electric provider could go to the Village Board in March or April for a vote.
“We’ll be able to tell what pricing will be with more certainty after negotiations,” he added.
Glenview residents can still opt out of the aggregation program.
Another factor that may lower electrical rates is ComEd’s plan to install digital smart meters in 2015-16 in the Chicago area, which was another reason village staff recommended extending the contract for no longer than a year, officials said.
The meters can relay electrical consumption data to the utility company, eliminating the need for door-to-door meter readers.
As a result, users can program electric household appliances to turn on and off when prices are highest or lowest. Consumers can use smart meter information to monitor energy use and reduce bills.
In a Nov. 6, 2012, referendum, 74 percent of Glenview residents voted in favor of allowing village officials to choose an electric supplier for residents and small commercial users.
