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Bethel Twp. is asking voters on Tuesday to approve two resolutions giving trustees the authority to aggregate electric and natural gas purchasing.
Trustees said the move will allow the township to purchase utilities as a large buying pool at a discounted rate. Residents will have the option to opt out of the pool at any time at no cost.
“We don’t see a downside to this,” said trustee Nancy Brown.
Ohio law allows for communities to form an aggregated buying group on behalf of their citizens. The governmental aggregator chooses an outside supplier for all of the customers in its group.
Since the township cannot ask for bids from suppliers until the resolutions are approved by voters, Brown said it is difficult to say exactly how much money the aggregation would save.
“All we can say is the rates will be lower than they are now,” she said, but estimated that electric aggregation could save each household about $150 annually. Collectively the move is expected to save the township about $500,000.
Under the aggregation, customers would still receive a bill from their current utility companies.
“They will still be the distributor,” Brown said.
Natural gas supply, which hasn’t been as costly in recent years, may not end up being a better deal under the aggregation initially, Brown said.
“If it doesn’t save people money right now, we won’t sign a contract,” she said. “But it will be approved (by the voters) when the time comes.”
The state requires a 21-day opt out period after authority is granted for an aggregation so all residents will receive a letter explaining the opt-out process.
But Brown said the township will not sign any contract that requires a switching fee, so anyone will be able to get out at any time for free.
More information on aggregation can be found at www.puco.ohio.gov.
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