Discussions about a new two-year aggregation contract with Constellation Electric began at the Reynoldsburg City Council meeting Jan. 10.
City Director of Public Service Bill Sampson gave council a report on electric aggregation because the city's current aggregation program will expire in March.
merican Municipal Power (AMP) solicited pricing last week for a 24-month period. AMP is under contract with the city to administer the program.
Three bids came in from IGS Energy, AEP and Constellation. The latter came in at the lowest rate of 5.5 cents per kilowatt hour, which is indicative pricing as the rates change daily. The current aggregation rate is 7.1 cents per kwh.
All bids stated there is no termination fee if residents want to cancel their participation in the program at any time.
This rate includes a $100,000 city grant for a use yet to be determined. Sampson said in his presentation he hopes the grant is used for a comprehensive city master plan.
The previous aggregation contract from 2014 with AEP Energy included a similar grant.
Sampson said the city's goal is to get the best possible price for electricity.
"We will contract with AMP and at the present time Constellation is the lowest firm," he said. "Residents always have a choice, but the city will contract with one firm."
Sampson will present legislation to city council at its Monday, Jan. 23 meeting, along with a finalized rate and his recommendation for the next electric aggregation provider.
The decision about the electricity provider will be reviewed by the Public Utilities Commission of Ohio for certification before it takes effect.