Cincinnati Selects Electric Supplier for Municipal Aggregation

The City of Cincinnati selected FirstEnergy Solutions as the supplier for a new term of the City's opt-out municipal electric aggregation.

FirstEnergy Solutions is the aggregation's current supplier.

The new 36-month agreement will begin with the June billing cycle.

"[D]ue to unfavorable conditions in the electricity market, the guaranteed savings percentage available to City households and small businesses has been reduced significantly from [the current] 23% to 8% off the Duke SSO," the City said.

Due to such pricing, the City Manager originally announced that it was selecting conventional power for the new agreement; the current agreement with FES is for 100% renewable power.

After opposition from the City Council, the City elected to continue to take 100% renewable power to aggregation customers as a default option. However, customers in the aggregation will be able to elect conventional power from FES as well.

The City conducted an RFP to award the contract, and originally (when announcing that it would opt for conventional power) listed the proposals received under the RFP as follows:

36-Month Conventional Power
Supplier            % off SSO         Rate ($/kWh)
Constellation      Not offered        $0.05591
FES                    9%             $0.0547

36-Month 100% E-Green Product (Higher quality)
Supplier            % off SSO         Rate ($/kWh)
FES                    6%               ---

36 Month 100% Green Product (current)
Supplier            % off SSO         Rate ($/kWh)
FES                    8%               ---