Green Aggregation

History:

Municipal electric aggregation has achieved great success and favorability across Illinois since 2011, saving cumulative hundreds of millions of dollars for residents in communities that have implemented the programs. Many communities are undertaking steps to reduce their collective carbon footprint by enacting community-wide sustainable practices and policies. 95 Chicago metropolitan municipalities have adopted the Greenest Region Compact.

How it Works:

• Every electric account establishes unique usage consumption patterns. Factors such as volume, time of day, single family vs. multi-family, and usage during ComEd peak periods combine to create a complex power usage profile.

• The cost of producing electricity is highly variable. Generators are required, by law, to ensure it is perpetually available in full, and on demand.

• Therefore, suppliers analyze that variable cost to serve each account and price each account’s individual rate.

When suppliers analyze a community for a 100% Green Community Aggregation program, they calculate the price for each individual account and will switch only those accounts for which power costs less than the ComEd default rate. The remainder of the accounts that are costlier to serve will remain on ComEd supply service. However, the entire aggregation, including those remaining on ComEd supply, receive 100% RECs for all power consumed.

All residents would continue to be billed by ComEd. All residents would pay the same ComEd default rate.

The profitable margin on the favorable (lower cost) accounts enables the supplier to purchase RECs for the entire Community Aggregation—including all ratepayers who remain with ComEd. All residents receive notice of the program, with the explanation that 100% of their power consumption is offset by RECs. The RECs are derived from wind energy in the Midwest, thus supporting local renewable power generators.

Ratepayers may opt out or leave with no early termination fee at any time for any reason.

Ratepayers who have already chosen their own individual supplier contract are not included in the program.

This program, 100% Green Community Aggregation, enables the Village to receive the designation of US EPA Green Power Community.

Sample Letters
1. Opt in Letter from the Village of Round Lake Beach
2. Opt out Letter from the Village of Round Lake Beach
3. ComEd Customers Letters