Bloomington has signed a 22-month agreement with Homefield Energy for electricity. (Photo by Vaxomatic/flickr)
By Eric Stock
BLOOMINGTON - City officials have signed a contract that's expected to save customers about 20 percent on their energy bills - at least for now.
Deputy City Manager Barb Adkins said the city selected the lowest bidder, Homefield Energy, for a 22-month agreement as opposed to a shorter-term deal.
"There's so much up-front work that has to be done to even get people into the program. We felt that we just went through all of this and we didn't want to turn around in nine or 10 months and start this whole process over again," Adkins said.
The agreement sets Bloomington's electricity rate at $0.04539 per kilowatt hour for Ameren customers. Adkins and Mayor Tari Renner participated in the bidding process on Wednesday.
The savings rate is expected to be reduced as energy prices change. Ameren customers will be getting opt-out notices in the coming weeks, otherwise Ameren customers in Bloomington will be part of the contract. Bloomington voters approved electricity aggregation in April, one year after voting against it in a referendum.
The Bloomington City Council on Monday approved a civic contribution of $0.001 per kilowatt hour to the city to offset administrative costs.
Homefield Energy is owned by Ameren Corp. It beat out Constellation Energy and First Energy Solutions for the lowest bid.
Eric Stock can be reached at email@example.com.