City clarifies electric supplier situation

[August 29, 2014]  LINCOLN - Lincoln residents who participated in the City’s electric aggregation program have begun to receive information from Ameren and from the aggregation program supplier, Integrys Energy Services, informing them that the electric supply contract negotiated two years ago is coming to an end. The contract that was signed in 2012 was for 24 months and will expire with the September 2014 meter reading.

The City’s electric aggregation consultant has been assessing the market for electricity rates throughout the summer months. For each month since June, the Ameren default rate has been anywhere from 28.9% to 50.8% less than the best rate available through the market.

As a result, both the City’s electric aggregation consultant and Integrys have recommended that participants in the aggregation program revert back to the Ameren default rate. Because the Ameren default rate (called “Basic Generation Service”) is presently lower than any rate available through the market, it is in everyone’s best interest to switch back. No action is required, no cost will be incurred by any resident, and Integrys will seamlessly transition participants back to the Ameren rate.

The City and the other communities who participate in the Central Illinois Consortium for electric aggregation will continue to monitor market rates for electricity. The Consortium can revisit pricing in 2015 when the new Ameren rates are known.

[Text received; MAYOR KEITH SNYDER, CITY OF LINCOLN]