Officials put electric issue on ballot

CELINA - Looking to possibly lock-in discounted electric rates for unincorporated areas, Mercer County commissioners have placed an electric aggregation issue on the Nov. 7 general election ballot.

Passage of the issue would authorize commissioners to purchase electric loads at a fixed rate for up to three years on behalf of eligible residents and small businesses in unincorporated areas of the county, i.e. townships.

"The main reason is just to give the people a better opportunity to look at other rates," said county commissioner Rick Muhlenkamp.

Local government aggregators with group-buying power can often secure better electric generation rates for residents, according to Amy Hoffman of Palmer Energy, who spoke at a county government forum earlier this year.

"This is just an option other than the (public) utility to purchase your generation," she explained. "You will still get your AES bill. They will still come in and take care of the lines if something's down or what have you. You're just not purchasing the generation. The supplier will show up on the bill."

Voter-approved electric aggregation programs are already in place in villages such as Coldwater, St. Henry and Rockford.

If the levy passes, unincorporated area residents who get their electric generation directly with a public utility and small businesses with power loads less that 700,000 kilowatt-hours would be automatically enrolled in the program unless they opt out by returning a form, Hoffman said.

Customers enrolled in the Percentage of Income Payment Plan (PIPP Plus) or already under individual contracts with suppliers as part of a customer choice program are not eligible to participate, according to Ohio Public Utilities Commission.

"We will go out and price the load to multiple suppliers to get pricing back. So the whole idea is to have a better rate," Hoffman said.

Eligible residents can opt in or out of the program at any time with no fee, she added.

"For whatever reason the market just takes a dive and there's still three months left on the aggregation and you want out, then you can leave," Hoffman said.

In June 2022 area electric prices surged from 6 cents to about 11 cents kWh, Hoffman said. The electric rate, though, is currently much lower in some villages with aggregation programs. Rockford's rate was nailed down at 4.77 cents through May 2024 and St. Henry's at 6.37 cents through May 2025, Hoffman noted.

County community development director Jared Ebbing said he sees no downside to the aggregation program.

"I can tell you I received a lot of phone calls from residents and businesses that wish they were in the village of Coldwater, wish they were in the village of St. Henry because their rates are so much more being outside an aggregation district," he said.

The County Commissioners Association of Ohio (CCAOSC) partnered with Palmer Energy Company to help manage a natural gas and electric program for member counties, according to Palmer Energy Company's website. The program was designed specifically to help counties save money on their natural gas and electric bills by utilizing the strength of group buying.

By joining together, counties can leverage their buying power when shopping the market, thus securing the best deals possible.