MONROE – Monroe officials locked in the municipal energy aggregation program’s lowest rate ever by approving a contract with a new provider.
South Jersey Energy was approved during the Aug. 2 Township Council meeting.
Heading into a third round, Monroe’s energy aggregation program has used the power of bulk purchasing to guarantee a lower fixed electric rate over local provider, Jersey Central Power & Light (JCP&L), according to information provided by the township.
As the lowest bidder, South Jersey Energy proposed a set price of $.07662 per kilowatt hour for the duration of a two-year contract.
This new rate, effective Dec. 1, represents a 19.2-percent savings over the present tariff price of JCP&L.
“Our municipality was one of the first in the state to establish an energy aggregation program,” Mayor Gerald W. Tamburro said in the statement. “It’s paid off, amounting to $9 million in savings for our residents over the past four years. We expect this next round will be our biggest savings yet with the average household in Monroe seeing a reduction of more than $400 during the term of the contract.”
Savings could be significantly higher for residents using large quantities of electricity or for those living in all-electric houses, like many that are found in the Clearbrook, Concordia and Rossmoor active adult communities.
“Many of our residents are seniors who are living on fixed incomes,” Council Vice President Elizabeth Schneider said in the statement. “Larger families are also usually big consumers of electricity. While the savings will be across the board, these groups typically stand to benefit the most from our program.”
In October, the township will hold public information sessions to answer any questions from residents before the program begins.
“I have personally saved hundreds of dollars through this program,” Councilman Michael Leibowitz said in the statement. “So, we welcome the opportunity to educate our residents on the benefits of participation.”
All residents who are customers of Tri Eagle Energy or JCP&L will receive a letter in September informing them about their choices.
Residents currently participating in the Tri Eagle program will automatically be transferred to South Jersey Energy at the new rate on Dec. 1, unless they take action to opt out.
All residents who currently obtain their power supply from JCP&L will be included in the program unless they opt out.
There are no exit fees or penalties for opting out.
Residents will receive a “Notice of Opt Out” on or about Oct. 5 and must submit it by Nov. 4.
Residents who are on a budget plan with JCP&L will continue to be on that plan with the new energy provider.
The township is warning the public to be cautious of third party-companies soliciting residents, offering lower rates that can fluctuate and then skyrocket after an introductory period has ended.
“Be leery of the fine print,” Councilman Leonard Baskin said in the statement. “Some of these companies may be outright scamming our residents, while others are just using aggressive sales tactics to hoodwink them into paying higher rates. We don’t want our residents to fall victim to either.”
For more information on the energy aggregation program, contact Harold Klein at 732-521-4400 or [email protected].