Aggregation program offers residents opportunity to save money on electric bill
Village of Bluffton AEP customers received a letter last week explaining a government Electricl Aggregation Program that will affect all residents. Simply put, local officials bring citizens together to gain group buying boywer for the purchase of competitively-priced electricy from a retail electric generation supplier.
Village of Bluffton’s voters passed the governmental aggregation issue on the March 2012 ballot. The village has elected to join the government electrical aggregation program managed by the County Commissioners Association of Ohio and officially named the Allen County Commissioners as the aggregators on behalf of the Village of Bluffton in order to do so.
Click here to access the Public Utilitites Commission of Ohio website that offers additional information.
This allows the village to benefit from economies of scale, instead of a supplier bidding on the Village of Bluffton customers only. Suppliers are bidding on a pool of customers that includes 40-plus counties in the State of Ohio.
Perhaps the most important piece of this story is that customers interested in being part of this program do not need to respond (do not need to use the "opt-out form"). By not responding they will automatically be enrolled in the program.
The following are frequently asked questions about this program. This information is also found on the Village of Bluffton website.
In addition three attachements to this story include:
• The cover letter sent to all AEP customers
• A second list of frequently asked questions about the program
• An "Opt-out form" for customers not interested in being part of this program
Q: Who is eligible to participate in the aggregation program?
A: Any eligible Village residence or small business within the Village of Bluffton. A “small business” is defined as one using 700,000 kwh per year or less. Customers of a co-op are not eligible to participate.
Q: What is the contracted rate?
A: The current contracted rate for electrical generation is $0.0585 per kwh. The electric bill is split between generation and transmission/distribution. The aggregation program only deals with the generation portion of the bill.
Q: Who is the supplier? Who do I call if I have a service problem, or if the power is out?
A: The supplier that won the contract through the County Commissioners Association of Ohio is First Energy Solutions based out of Akron Ohio that currently operates in Ohio, Pennsylvania, New Jersey, West Virginia and Maryland. If you have service problems, you will still call AEP.
Q: I am currently on a budget plan with AEP- will that continue?
A: The budget plan will continue on the transmission/distribution portion of the bill. The generation portion is not able to be set up on a budget plan. Customers will pay for the usage on the generation portion based on the actual monthly usage.
Q: Who will the post card to opt-out come from and when should I expect to receive it?
A: The opt-out post card will be sent by First Energy Solutions, the supplier that is contracted with through the County Commissioners Association of Ohio. Customers should begin receiving the post cards in about thirty (30) days. If you want to opt out of the program, simply complete and return the card. If you want to participate, you do not need to do anything.
Q: I already signed a contract with another company- can I still participate?
A: If you are currently under contract from another supplier, you will not receive an opt-out post card from First Energy Solutions. If you would like to participate, the Village will be provided contact information for First Energy Solutions. If you are under contract with another provider, you are encouraged to review the terms of the contract- specifically early termination fees- and decide if it is feasible to switch to the Village’s aggregation program.
Q: I already signed a contract with First Energy- can I switch to the aggregation program?
A: If you are already under contract with First Energy Solutions, you will be permitted to switch to the Village’s aggregation program at no cost.
Q: If I choose to opt out now, but decide later that I want to participate, can I?
A: Eligible customers can enter the program at no charge at any time.
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