Commissioners OK new electric aggregation rates with Energy Harbor

Al Lawrence
·2 min read

Residents who participate in Richland County’s electric aggregation program are going to pay 47.5% more for their electricity beginning Jan. 1 compared to their current rate under aggregation. County commissioners on Tuesday approved a new, two-year agreement with Energy Harbor through the County Commissioners’ Association of Ohio energy programs administered by Palmer Energy Company of Toledo.

Palmer Energy sent out requests for proposals last month to six potential suppliers and received responses from just Energy Harbor of Akron and Houston, Texas-based Dynergy Inc. that were around 6.6 cents per kilowatt hour. The company did a price refresh Tuesday morning in order to lock in rates for the contract, and Energy Harbor submitted a figure of 6.650 cents per kilowatt hour while Dynergy turned in a 6.769 cents per kilowatt hour figure.

Those numbers compare to a rate of 4.508 cents per kilowatt hour under the current aggregation contract with Constellation Energy that is expiring Dec. 31. Constellation did not submit a proposal when the latest request was made.

Palmer representative Amy Hoffman told commissioners last month that the current price to compare, which is the other option if a customer wants to stay with their utility, is 9.5 cents per kilowatt hour through December. Richland County’s electric aggregation program covers approximately 2,500 eligible meters for residential and small commercial customers in Franklin, Mifflin and Monroe townships that receive electric distribution service from Ohio Edison.

Commissioners noted that there was some contract language that was being worked out that the county would be accepting. The 24-month contract runs from Jan. 1, 2024 through Dec. 31, 2025. Customers in the aggregation area will be sent letters outlining their options.

Commissioners were asked if they thought electric rate increases will be a continuing trend.

“Absolutely,” Commissioner Darrell Banks responded. “The federal government has been trying to get us out of the energy business in almost everything. We’ve got the cleanest coal burning facilities in the country near Youngstown, and they’re going to close it down in a few years. None of it makes sense and it’s all costing us money.”

This article originally appeared on Mansfield News Journal: Commissioners OK electric aggregation agreement, rates to increase