Loveland, Ohio – The City has announced that they have established a low fixed rate for members in the city’s electric aggregation program. Constellation Energy Services, Inc. (Constellation) was chosen as the program’s supplier following a competitive bidding process for a three-year program starting with the June 2016 meter read. Constellation recently won a competitive bid process and is replacing FirstEnergy Solutions as the program’s supplier. Program members will pay a low fixed rate of $0.05058/kWh for their June 2016 through May 2019 meter reads.
On or about April 18, a mailer announcing the new rates, terms and conditions will be sent by Constellation.
Aggregation allows the community to form a buying group on behalf of residents. By combining the buying power of its residents, the community can be more effective in negotiating rates than an individual customer.
“We’re excited about the 36-month offer of 5.058 cents/kWh which is lower than the expiring rate that served us well. The savings will keep a great deal of disposable income in Loveland,” said City Manager Dave Kennedy, in a press release. Kennedy also said, “Current program members and those customers who are receiving their electric supply from the local utility, Duke Energy, will receive an opt-out letter. The letter will explain the low o
ffer we negotiated and the means to opt-out should a customer not want to participate in the program. Residents will have 21 days to return an opt-out card to Constellation, if they decide not to participate, or they may opt-out online.”
Mayor Mark Fitzgerald said in the release, “We are delighted by the low fixed rate for Loveland residents and businesses. This low rate will allow residents to predict their costs for the next three years. Our rate of 5.058 cents/kWh is very attractive, and we expect participation rates in our program to be high. Customers who are currently served by other suppliers will also receive a letter with several ways to join the city’s program. Residents and small businesses may call Constellation at 844-303-5974, mail/fax the reply card that comes with the letter sent to their home or business, or enroll online at www.Constellation.com/oh-loveland.”
Customers served by another supplier should review the obligations in their existing contract before joining the City of Loveland program, as many suppliers charge a fee for early termination. Customers wishing to join the program must be in good standing with their bill payment and cannot be part of the utility’s percentage of income payment program (PIPP).
“Constellation is proud to provide residents and small businesses in Loveland with price certainty and the same hassle-free experience we offer all customers,” said Bruce Stewart, chief marketing officer for Constellation. “As a longtime competitive energy supplier in Ohio, we look forward to supplying electric to Loveland’s residential and small business customers.”
In the release, The “City” said, they are, “…pleased to have made this program possible but asks that you do not call the city offices. They are not equipped to handle a large volume of calls. If residents have any questions, they should contact Constellation at 844-303-5974 after the opt-out notice arrives.”
Constellation’s price does not include any taxes, utility distribution charges or other utility fees, charges or credits, and is subject to the terms of the agreements with the City and the participants, according to the information provided by the City.
For background about Loveland’s electric aggregation program, an explanation and how it came about you can watch this LOVELAND MAGAZINE TV interview.
