ALTON - The City of Alton has renewed its municipal electricity aggregation program with Homefield Energy, aiming to shield residents from fluctuating electricity supply rates. The new agreement, which will take effect in December 2024, will provide a fixed rate of $0.09054 per kilowatt hour (kWh), representing a significant decrease from the current rate of $0.1220 charged by Constellation.
This decision was announced in light of ongoing volatility in the energy market. The new rate, effective through the May 2025 meter read date, is expected to yield monthly savings of over $25 for an average account using 800 kWh. Additionally, the program will transition from the higher summer delivery rates to lower non-summer rates, further enhancing savings for participants.
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Alton officials, along with their consultant Good Energy, opted for a shorter contract duration due to the unpredictable nature of the energy market. Since the aggregation program's inception in 2013, participants have experienced only seven rate changes, compared to 30 changes for the utility rate. This stability is a central feature of the program, which has collectively saved Alton residents nearly $2 million over the years.
Residents will receive an opt-out letter starting Oct. 11, 2024, allowing them to withdraw from the program without penalty. Those who wish to remain enrolled need not take any action. For any questions regarding the program, residents are encouraged to contact Homefield Energy directly at (866) 694-1262 or reach out to Good Energy’s Vicki Browning at (844) 686-4244.
The City of Alton’s municipal aggregation program has seen robust participation, with over 80% of residents in the participating communities opting in. City officials believe this program is crucial for providing residents with a reliable and cost-effective energy option amid rising energy costs, extreme weather events, and evolving clean air standards.
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