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From the  Cape May County Herald

Company Hopes City Turns on to New Electricity Supplier

Monday,  February 01, 2013 09:38 am
by: Deborah mc guire

WILDWOOD – Commissioners listened as a spokesman from Commercial Utility Consultants (CUC) made a presentation that he hopes will turn on an interest and have the city join with other municipalities that would result in residents having the option to buy their electricity from a third party supplier.

John Fish, an agent of the Sewell-based company told city officials if the city opted to participate in government energy aggregation, residents opting to change their supplier from Atlantic City Electric to a third party may see savings that could amount to as much as two months’ worth of electric bills.

According to Fish, one component of CUC’s business is the development of a blind reverse energy auction that creates “a platform that forces suppliers to present their bottom line cost in order to earn your business.”
New Jersey deregulated its energy costs in 1999.

“On an individual basis less than 20 percent of individuals have switched to a third party,” Fish said, noting the number of customers leaving their traditional power company over the past 13 years.

Fish said if the city chooses to participate in a program to use a third party supplier for its electricity, residents will included, unless they opt out.

“Currently you guys have the power to give residential users the power to negotiate a better contract,” Fish told Commissioners, noting the negotiating strength in number of an entire municipality versus a single user.

“If we come together as a group, we can negotiate one contract and that one contract is very advantageous,” said Fish.

Becoming part of the CUC would require an ordinance. Once approved, CUC would be given a list of residential properties not currently using a third party supplier. Residents already committed to a third party energy supplier are not included in the auction. Those residents who currently use Atlantic City Electric as their power supplier are automatically signed up to participate in the energy auction.

Residents not wanting to participate in the auction would have a 30 day period to opt out.
Fish said bills would continue to be paid to Atlantic City Electric, the provider of services. The only change on a customary electric bill would be a new supplier’s name showing on that portion of the bill.

“Basically this is nothing more than telling the public, commercial and residential, that we’re going to save you x number of dollars a year by simply agreeing to, or in this case opt out of a program if you don’t want to be a part of it,” said Mayor Ernest Troiano.

“It’s all positive, there are no minuses,” added Pete Byron, Commissioner in charge of revenue and finance.

A push to sign up communities in Cape May County has been going on for several months. Fish told officials in order to sign up all that was needed was an ordinance. Stone Harbor passed an ordinance and is taking steps to be a lead agency in a co-op, said Fish.

“Middle Township is also considering becoming part of the third party supplier auction but is waiting for Stone Harbor to have the second reading and public hearing of its ordinance, said Marcus Karavan, Solicitor for both Wildwood and Middle Township. “I would suggest that you have that to be in place,” said the solicitor.

 

 

 

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