Clean Energy Columbus’ start date approaches, opt-out deadline is April 29
A letter describing the city’s new green-energy electricity aggregation plan alerted many Columbus residents that the program’s start date is fast approaching and caused confusion for some.
The letter, sent last week by Columbus Mayor Andrew J. Ginther and AEP Energy’s Chief Solutions Officer Scott D. Slisher, was sent as a reminder to Columbus residents that the voter-approved Community Choice Aggregation program, also known as Clean Energy Columbus, is set to begin soon.
Starting in June, AEP Energy will supply “100% local Ohio-based clean energy to eligible residents and small businesses” through May 2034, the letter said. Participants will be automatically opted in to the program, and those wishing to opt our have until April 29 to do so.
What caught some readers’ attention, however, was the price.
“Program participants will receive a 100% clean energy supply price of 5.499 cents per kilowatt-hour (kWh) for the initial 12 months,” the letter said.
The way the price was formatted in the letter caused confusion for some readers, prompting some to seek out the neighborhood forum app, Nextdoor, for answers.
“I assumed that there would be a cost savings for enrolling, and I feel like I’m missing something. My current rate with AEP is 0.05 cents per kilowatt hour (kWh),” one German Village resident wrote. “The price with the city’s aggregate provider, AEP Energy, is 5.49 cents per kWh. So, isn’t that substantially more expensive? Why would anyone switch?”
AEP Energy often writes its prices in the form of dollars, which would’ve read as $0.05499 per kWh for the clean energy supply price. Instead, the price was written in cents, causing some residents to misread the letter and think they would be paying $5.49 per kWh under the new program.
Scott Blake, a spokesperson with AEP Energy, said Friday that the price per kWh is definitely 5.499 cents.
“It is 5.499 cents. When folks look at their bill or the Clean Energy Columbus website, it’s written as $0.05499,” Blake said. “But it’s 5.499 cents either way you look at it.”
Eventually, users sorted out any confusion, but not without raising more questions about how the city’s new clean energy program will actually operate.
What is Clean Energy Columbus?
Clean Energy Columbus is an “opt-out” green-energy electricity aggregation plan that promises to supply 100% of the city’s power needs with renewable energy by 2023.
The program, also known as Issue 1, was overwhelmingly approved by voters in November 2020. Nearly 76% of Columbus voters, or 278,591 people, voted in favor of the program.
AEP Energy, who won the city’s bid for the program, will supply Ohio’s largest city with power from all-new wind and solar farms to be constructed in Ohio under the billion-dollar proposal.
Under Ohio law, residents can group together to negotiate better prices and cleaner supply by leveraging customers into a single purchase contract. There are 390 electric community choice aggregations registered in Ohio, including one in Worthington.
However, Columbus’ electricity aggregation is unique, as it’s the only one to negotiate a 100% new green energy supply. The program will be the third-largest in the nation, and the largest in Ohio, according to the program’s website.
How do I enroll in the program?
You don’t have to opt in to enroll in the program.
Every residential and small-business customer in the city will be automatically enrolled in the plan, with an option to remove themselves if they wish and select another power provider.
If you want to opt out of the program, you have until April 29 to do so, and there are two ways to opt out.
You can call the AEP Energy Customer Care Team at 888-307-0264 weekdays between 8 a.m. and 7 p.m. or on Saturdays between 9 a.m. and 1 p.m. or you can complete a form that eligible residents should have received with a letter from the city.
Those residents choosing to stay with the plan will get periodic windows to opt out of the program in the future, and those who opt out also can choose to sign up. AEP Energy has predicted 10% to 20% of customers may ultimately opt out, choosing another electric provider from Ohio’s open power market.
How much does it cost taxpayers?
No tax dollars are involved, but users’ electric rates could be affected by the switch.
For the first year of the program, residents will pay $0.05499 per kWh. The price will reset in June 2022. This is to ensure “that you benefit by receiving a competitive price,” according to the city’s letter.
Users will continue to receive one monthly bill from their local electric utility, AEP Ohio. Billing and level of service will also stay the same. There are no fees to enroll and there are no cancellation fees if residents decide later to opt out.
I own a small business. How do I know if it is eligible for Clean Energy Columbus?
Any local small business that uses less than 700,000 kWh annually is eligible to participate. Clean Energy Columbus is only available to eligible residents and small businesses at this time.
@sheridan120
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