The Village of Gurnee has announced through mailings to eligible residents and small-business owners within the municipality that the full board has renewed its contract with a third-party electric supplier for 12 months, starting July 1. The Chicago-based firm of MC Squared Energy Services LLC had provided the service during the previous one-year period, and was again selected after offer bids were culled by a consultancy group.
The contract calls for a fixed electric supply price of $0.0738 per kilowatt hour through July 2019, although distribution charges for the use of Commonwealth Edison lines will be set by its parent company, Excelon, Inc. of Chicago. One feature of the contract is for individuals being able to cancel the agreement with no termination fees assessed, even if they do not choose to opt out of the program by a June 13 deadline.
“We’ve been with this company for about one year, and formally accepted their bid last April, through a consultant firm that we, and other municipalities use,” said Jack Linehan, Gurnee’s assistant village administrator. “They represent over 140 other municipalities, so it’s their specialty, and they collect the bids on our behalf. There were multiple bids, and MC Squared came in the lowest for an annual rate.”
In March 2012, Gurnee voters approved a binding referendum that allowed the village to enter into an aggregate electric purchasing agreement as a means of cost-saving for residents and small businesses. Linehan said multiple bids were received, and that the village had contracted with First Energy, Inc. during its initial years of the program.
“When the program started, our electric rate was half of what would normally be charged through conventional ComEd service, now with adjustments,” he said. “Since 2012, we’ve saved over $500 total off the electric bill of an average household’s use, and more than $4 million village-wide. That’s pretty significant.
“The current rate for electric supply through the third-party company is $0.0689, and the $0.0738 reflects the trend, which unfortunately is going up. ComEd has been openly supportive of aggregate electric purchasing and don’t punish communities for third-party use.”
Unless notified, the agreement and rate will be considered accepted by the village. Normal monthly billing cycles will not change. Should individuals cancel the contract for electric service, they can return to ComEd or seek their own supplier upon receipt of the cancellation notice from the company.
“Another benefit of the contract is reducing aggressive sales marketing by third-party vendors, saying they are from the village,” said Linehan. “We want to protect our seniors from this practice, so we read all the fine print and the details. It makes things a lot easier too, and somewhat deters that practice of pressuring and misinformation.”
MC Squared Energy Services is an independent seller of electric power and energy service that has been certified by the Illinois Commerce Commissions and has the Village of Gurnee’s endorsement for the Municipal Aggregation Program. More information can be obtained by calling 1-855-564-8130.
—Gurnee renews carrier contract for electric–