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Residents saved 36% in October on sustainable electricity program

The City of Hilliard’s voter-approved sustainable electric aggregation program saved Hilliard residents an average of $28.73 on their utility bills during its first month in operation.

In October, 9,081 Hilliard households were participating in the sustainable energy initiative. The program sources its electricity through the purchase of renewable energy certificates from providers of environmentally friendly sources such as wind and solar.  

According to a report from our green energy aggregation provider, Energy Alliances, the price per kilowatt-hour through the program was 6.9 cents, compared to the 10.9-cent price for AEP’s standard market rate. The resulting total aggregated reduction for Hilliard customers was $260,925 – a 35.9% cost savings.

An additional 200 households participated in the program’s optional “brown energy” plan, which is based on more traditional sources such as coal.

“We’re incredibly pleased with the results of this program in its first month,” said City Manager Michelle Crandall. “October also is typically a month when usage is lower than in the summer or winter, when air conditioners and furnaces are being more heavily used, so we would anticipate even greater savings for residents in the coming months.”

Voters gave the City of Hilliard the authority to become an electricity aggregator in November 2022. This meant the City could negotiate rates for sustainably sourced electricity on behalf of a large number of households, thereby getting a very favorable rate compared to AEP’s market rate. October 2023 was the first month that the program was reflected in electricity bills.

Residents were automatically enrolled in the program, unless they chose to opt out or they were already under a contract with another provider. The 6.9-cent per kWh rate is locked in for the two-year duration of the current contract.

“Residents who are not in the program still have the option of signing up and taking advantage of the 6.9-cent kWh rate at any time and at no cost,” Crandall said. “It’s a no-lose proposition because customers can opt out at any time and at no cost. Plus, because electricity is sustainably sourced, participants are doing their part to help the environment.

Full details, including information on registering to participate, are on the City’s website at https://hilliardohio.gov/aggregation/.

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