HARPSWELL
The Harpswell Board of Selectmen unanimously approved a contract with competitive electricity provider Constellation NewEnergy Inc. at their Thursday night meeting.
A contract with Constellation NewEnergy, a supplier which offers electricity through aggregator and broker Maine PowerOptions, was approved for a 35-month term at a rate of $0.08390 — 8.3 cents — per kilowatt hour.
“I met with a gentleman this afternoon who brokers electricity,” said Board of Selectmen Chairman Rick Daniel. “He was rather surprised at the numbers that were being offered, in that these are numbers that he cannot seem to achieve himself.”
Daniel noted that energy costs, particularly of gas, are anticipated to rise. In the wake of the Fukushima disaster in Japan, he said, the nation has relied more heavily on gas-fired generators and has contracted large amounts of gas that previously came to Canada and Boston.
The contract is for the town’s medium account, which currently is combined with the town’s several smaller electricity accounts but will be divided when the existing contract expires Dec. 1. The medium account is comprised of the municipal office and recycling center, which collectively use 100,000 kilowatts of energy per year.
Electricity rates are set for a sharp increase this winter, which, according to the Maine Public Utilities Commission, will present the highest monthly cost for medium business customers since 2008.
The standard offer rate for Central Maine Power medium business customers will increase from the October rate of $0.061 cents per kWh to $0.151 cents per kWh in January 2015. The standard offer rate averages to roughly $0.0884 per kWh over the course of the year.
“I see no reason not to go with the 35-month plan,” said selectman Kevin Johnson, noting that the board had discussed accepting a 35-month contract at the previous meeting provided the offered rate had not increased.
The rate offered at the time of the selectboard’s Thursday meeting represented a decrease from the previous offer made on Oct. 16 of $0.08891 per kWh for a 23-month contract.
“Where is my crystal ball?” said selectman Elinor Multer. “That’s my primary thought.”
“I’m with you there, no one really knows the future,” said Daniel. “At these prices, to lock in for the 35 months, should we be wrong, we’re not going to be wrong in a large way at all. We could see some substantial savings.”
For more information about competitive energy providers, visit the Maine Office of the Public Advocate website at www.maine.gov/meopa. Residential customers are encouraged to compare CEP fixed and variable rate offers against the residential standard offer rate when considering a contract.
rgargiulo@timesrecord.com
THE CONTRACT WITH Constellation NewEnergy, a supplier which offers electricity through aggregator and broker Maine PowerOptions, was OK’d for a 35-month term at a rate of 8.3 cents per kilowatt hour.
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