Chicago Announces New Electric Aggregation Rate, Adds Fixed Monthly Charge to Address Capacity

Chicago announced new pricing under its opt-out electric aggregation contract with Integrys Energy Services.

The new pricing will begin with the May 2014 meter read and is based on a two-part pricing structure, which is said to be aimed at producing lower costs for small volume users.

The new pricing includes a volumetric fixed rate of 5.299 cents per kilowatt-hour and a monthly customer charge of $22.36 for single-family customers and $9.06 for multi-family customers.

Additionally, Integrys Energy Services will be required to beat or match the ComEd price. If the Integrys effective rate for the average residential users rises above the ComEd rate, including the Purchased Electricity Adjustment (PEA), then Integrys will be required to match the price or send Chicago customers back to ComEd at the request of the City.

The electric supply will be coal-free, and Illinois wind farms will physically generate 5 percent of the electricity provided through the municipal aggregation program.