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Posted on: March 8, 2019

Update - April 2019: Sustainable Essex Alliance Community Energy Aggregation

April 2019 Update: 

The Township of Millburn (“Millburn”) joined together last year with 5 other Essex County municipalities to form a joint purchasing cooperative named the Sustainable Essex Alliance Energy Procurement Cooperative (SEAEPC). The aim of this purchasing cooperative is to band together to create purchasing power and access the energy market to obtain power supply for residents with a higher renewable energy content and at a lower price than power supplied by the local electric utilities.

In March 2019 the Sustainable Essex Alliance issued a Request for Proposals seeking bids from competing electric power suppliers for power supply with renewable energy content 20% greater than utility-provided supply.  Because of differences in market costs and utility tariff prices between utilities, the bid was broken into two pricing groups; one bid group for residents of Glen Ridge, Maplewood, Montclair, South Orange and Verona located in PSE&G territory, and one bid group for residents of Millburn and a small section of Maplewood located in JCP&L territory.  On April 2nd, competitive bids were accepted by the Sustainable Essex Alliance.  While a contract was awarded for residents in PSE&G territory, it was determined that the bids for residential accounts in JCP&L territory were not beneficial.  Therefore, no contract award was made for residents of Millburn, and those folks will remain with JCP&L for power supply.  

The bid remains open for a 120-day period and, if market conditions improve, refreshed competitive bids will be accepted for Millburn residents.        

March 2019 News Flash:

The Sustainable Essex Alliance Community Energy Aggregation has launched a competitive, public bidding process, through the issuance of a Request for Proposals (“RFP”) on March 5, 2019 soliciting energy supply proposals from NJ BPU-Licensed suppliers on behalf of residents of the participating municipalities.  The purpose of the SEA CEA is to create purchasing leverage for the residents of the participating towns of Millburn, Maplewood, South Orange, Verona, Glen Ridge, and Montclair in a search for greener and lower cost power supply. Gabel Associates is a registered Energy Consultant that has been retained by the SEA to administer and implement the SEA CEA program.

The RFP is requesting that suppliers provide power supply that has a renewable energy content that is 20% greater than the amount of green power mandated by the State and provided by JCP&L – this translates to a total renewable energy content of more than 40% overall. Bids will be accepted on April 2, 2019, and the SEA CEA would award a contract to a supplier offering the most advantageous proposal, provided that the proposal meets pre-established criteria regarding renewable energy content and cost savings.

Should an award be made, residents of Millburn and the other participating municipalities would be notified by mail of the details of any contract entered into with a supplier on their behalf. Residents would then have the opportunity, should they so desire, to opt-out of the SEA CEA program within a 30-day opt-out window. Those who wish to participate will not have to take any further action.

Community Energy Aggregation allows municipalities the ability to dictate the quantity of renewable energy sought in its energy mix. As part of Millburn’s commitment to sustainability, any potential supplier of electricity to SEA CEA program participants will be obligated to source nearly double the amount of renewable energy that is currently supplied to residents by JCP&L via its default service. The fulfillment of such a quota would make the Township a state-wide leader in renewable energy procurement. Residents are advised that any energy supplier awarded a contract for greener product must also provide overall cost-savings for residents. 

In the meantime, should you have any further questions, please feel to contact our energy consultant’s help desk at SEA-CEA-info@gabelassociates.com.

For more information, including frequently asked questions: http://www.twp.millburn.nj.us/363/Community-Energy-Aggregation

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