At the August 13, 2019 Committee-of-the-Whole meeting, Staff proposed seeking Requests for Proposals for a Renewable Energy Electric Aggregation Program. Staff was directed to pursue proposals. Responses to the RFPs for a Renewable Energy Program were received from the two suppliers offering this program, Eligo Energy, IL, LLC and MC Squared Energy Services, LLC. Each response was for terms of 12, 24, and 36 months and for Renewable Energy Credits (RECs) for 20%, 50%, 75%, and 100% of power consumed. The proposed contributions are set forth below:
Annual Civic Contribution
|
|
20% RECs
|
50% RECs
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75% RECs
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100% RECs
|
|
Eligo: Wind
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$261,401
|
$228,987
|
$201,975
|
$174,963
|
|
MC Squared: Wind
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$200,000
|
$150,000
|
$112,500
|
$75,000
|
The offers provide RECs sourced from Wind power generators in the Midwest. The re-start of community aggregation with this Renewable benefit would reduce CO2 emissions by approximately 75,000 tons annually.
Under this program, residents and small commercial accounts will never pay more than the ComEd rate and the Village will receive the benefit of renewable, i.e., “green” energy. The Renewable Energy Aggregation Program provides RECs for the entire Arlington Heights Aggregation Community at zero added cost to the ComEd rate and zero cost to the Village, enabling the Village to be certified as a US EPA Green Power Community. It addresses one of the Board’s Strategic Priorities – explore new sustainability initiatives – and achieves an objective of the Metropolitan Mayors Caucus Greenest Region Compact, which the Village adopted in 2007.
Communities that have established (and several have since renewed) such a program include Clarendon Hills, Crest Hill, Elmhurst, Gurnee, La Grange Park, Oak Lawn, Oak Park, Orland Park, Oswego, Palos Park, Palos Township, Round Lake Beach, South Barrington, South Elgin, Stickney, Tinley Park, and Wood Dale.
Program implementation requires a process that follows several regulatory procedures. Once the Village contracts to re-establish the program with a supplier, the coordination with ComEd takes approximately 70-80 days. The program would begin at December 2019 meter-reading cycles.
RECOMMENDATION
It is recommended that the Village Board accept the proposal from Eligo Energy IL, LLC to establish a Renewable Energy Aggregation program for a 12 month term, which will provide for the Village to receive 75% RECs for the program term and a Civic Contribution in the amount of $201,975 and to authorize the Village Manager to sign the contract.