Wednesday, September 23, 2020

Should We Go With An ESCO After Losing Money For Two-Years

 A Message to All:

The Executive Board of the Council of Greenburgh Civic Associations (CGCA) urges you to watch and participate (via Zoom) in the meeting tonight, September 23, at 7:30 PM, regarding whether the Town of Greenburgh should join with other municipalities to purchase your electric supply through an ESCO (Energy Supply Company).

The current two-year contract with the ESCO Constellation will expire in December.  The attached table documents information from the last nineteen (19) Con Edison bills for five households that “opted out” of this contract.  As the table demonstrates, the latest cost per kWh (mainly for the month of August) was 5.4 to 5.9 cents.  That is considerably less expensive than the 7.709 cents per kWh those still enrolled in the contract are paying.

Based on the monthly information circulated by the CGCA, Supervisor Paul Feiner has had to acknowledge that the current contract has been costly to the nearly 12,000 residential and small business electric users that the Town Board enrolled in the “standard” option.  Under the current contract, unincorporated Greenburgh is only one of three municipalities participating in the “standard” option.  Twenty-three other municipalities, including five Greenburgh villages – Ardsley, Dobbs Ferry, Hastings-on-Hudson, Irvington and Tarrytown – are enrolled in the “green” option.  The Village of Elmsford and the nearby Town/Village of Scarsdale do not participate in the current contract negotiated by Westchester Power.

Mr. Feiner is now considering enrolling unincorporated Greenburgh residents and small businesses in the “green” option of a new contract. Going “green” means obtaining electric supply from renewable sources – wind power, solar power, hydropower – rather than fossil fuels.  It costs more but it helps address climate change, reduction of greenhouse gas emissions and other environmental issues.

At Mr. Feiner’s request, the CGCA reached out to the community (9/13/20) for advice on what action the Town should take.  One resident recommended the “green” option.  Every other response received to date recommended that any new contract should be on an “Opt In” basis.  More information was also requested regarding the future savings to lower-income families.

The Executive Board of the CGCA is making no recommendation but rather providing the following information so residents can better understand what is being considered and are in a better position to ask questions.

As noted, those who have not “opted out” of the current contract are paying 7.709 cents per kWh for electric supply.  According to Westchester Power, the average resident uses 669 kilowatt hours a month.  Thus the average bill for the month, including 4% sales tax, would be $53.63 for electric supply.  If you were enrolled in the “green” option, it would cost 7.959 cents per kWh and the average monthly bill, including tax, would be $55.38 for electric supply.

As the attached table indicates, Property # 1 and Property # 2 paid 5.5 cents per kWh.  This means an average monthly bill for 669 kWh, including tax, would be $38.27.  The savings for the “standard” option equals $15.36 which is 28.6% lower than the ESCO charged.  For the “green” option, the savings equals $17.11 and is 30.9% lower.  Even if one subtracts 64 cents for the monthly billing and processing payment fee, the monthly savings would be substantial.

According to the CGCA’s understanding, any new contract the Town participates in would be for the “green” option and would be offered on an “Opt Out” basis.  Savings of 10% on their electric bill would be promised to “x” number of lower income residents and the Town could be eligible for up to $250,000 in grant money for sustainable projects.  Westchester Power plans to go out to bid this month for a new contract, with a starting bid lower than 7.65 cents per kWh.

If you wish to participate in tonight’s Town Board discussion on this matter, see instructions below:

PUBLIC DISCUSSION Advance signup via PublicComment@GreenburghNY.com is required. Please mention ESCO or Sustainable Westchester in the subject line or the body of the email.

Sustainable Westchester 100% Renewable ESCO
 
Ella Preiser, CGCASecretary

1 comment:

  1. REMEMBER, YOU STILL HAVE TO PAY CON EDISON FOR THE TRANSMISSION OF THE POWER. YOU CANNOT FORCE ME TO CHANGE ENERGY SUPPLIER. I HAVE NOTIFIED CON EDISION NO CHANGES ARE ALLOW TO MY ELECTRIC SUPPLY WITHOUT MY AUTHORIZATION.

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