Shorewood sets vote on electricity buying plan

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Updated: December 15, 2011 9:46AM

SHOREWOOD — Residents will be asked this spring if they want the village to arrange for their electricity supply.

The village board Tuesday unanimously voted to adopt an ordinance placing a referendum question on the March 20 election ballot asking if the village should have the authority to arrange for the supply of electricity for its residential and small commercial retail customers.

Shorewood is joining other Will County communities in order to negotiate rates “under the same purchasing umbrella” via the Will County Intergovernmental League, Mayor Richard Chapman said.

The village board voted in September to join the league’s Will Utilities Aggregation Group, a countywide initiative developed with the goal of aggregating electric loads to lower electricity rates.

Officials expect that residents can save 15 percent to 20 percent on the supply portion of their electric bills with a group negotiated rate. Electric supply costs make up about 60 percent of a resident’s total electric bill.

The referendum question is one of the first steps toward aggregating electric loads. The village also will have to draft governance and host public hearings before rates would even be negotiated.

Electric rates likely would not be impacted until 2013, Chapman said.

Even if the referendum is approved by a majority of residents, individual households would be able to opt out of the aggregation program at any time.

More information about electricity supply and aggregation will be made available to resident as the March election.