Chamber Energy Co-op
Cooperative Energy Purchases Benefit Area Businesses
Through its Energy Co-Op, the Greater Decatur Chamber of Commerce and energy consultants CQI Associates demystify the process of purchasing power on the open market and provide a means for area businesses to reap the benefits of buying in bulk.
The Process: Approximately 45 days
Step 1) CQI and the Chamber administers two rounds each year, one in the spring, one in the fall
Step 2) Attend an informational session (ran by the Chamber and CQI) to learn all about bulk energy purchasing
Step 3) Fill out application and pay $150 application fee to the Chamber
Step 4) Application is sent to CQI to pool with other applicants and the group rate is determined by the best bid from one of several qualified suppliers
Step 5) Accept or decline the contract and lock-in a rate that provides budget stability
The Requirements:
1) Credit Check: have you paid your Ameren bill on time, in full each month?
2) Usage: for commercial-do you spend at least $500 a month on electricity?
3) Membership: are you a Silver or Gold level member of the Greater Decatur Chamber of Commerce?
***NEW Residential Info:
CQI is researching the possibility of bulk purchasing for residential consumers. This application fee will be nominal, there will be no threshold for usage and individuals may sign up or exit at any time. This will be a great alternative for small businesses that don’t meet the usage requirement for commercial rates. Be sure to look for updated information regarding this program brought to you by the Greater Decatur Chamber of Commerce.
Getting electricity from production to the point of use takes three steps:
1) generating the electricity
2) transmitting it from producer to distributor
3) distributing the power to consumers
Before Illinois deregulated (allowed consumers to choose who provides their energy) electrical companies in January 2007, one company handled all three steps. Deregulation now permits consumers to choose the company that supplies their electricity from a competitive field. The transmission and distribution functions continue to be provided by the local electric utility.
Ameren Illinois Utilities provides electrical transmission and delivery service to the Decatur area, but deregulation allows consumers to seek out the best available prices by purchasing power on the open market. Ameren Illinois spokesperson Stacey Young states, "We encourage customers to explore other electric supply alternatives just as the Decatur Chamber and other local businesses in Decatur have done. For many business customers, switching electric suppliers may provide relevant cost savings."
However, few consumers have the time, skill, or patience needed to exercise this newfound freedom - or the "buying muscle" to command the lowest prices. Through the aid and expertise of energy consultant Richard "Dick" Anderson of CQI Associates, central Illinois Chamber members can take advantage of bulk purchasing, while leaving the headache of researching the best prices and providers to the professional. CQI has conducted over 150 energy procurement bids since September 1999, purchasing an estimated $950 million of supply services for over 15,000 accounts in 16 states.
The Chamber's Energy Co-Op has pooled the purchasing power of 1,600 regional businesses over since 2007 allowing members to stabilize their electric rates. By purchasing their energy in advance at a set rate, these members have removed the uncertainty of fluctuating power costs and added predictability to their budget projections.
Click here for the CQI Associates Energy Co-op Presentation pdf
What do current Chamber Co-Op participants have to say?
"We encourage customers to explore other electric supply alternatives just as the Decatur Chamber and other local businesses in Decatur have done. For many business customers, switching electric suppliers may provide relevant cost savings."
-Stacey Young, Spokesperson for Ameren Illinois
"We have saved over $10,000 on an annual basis since joining the electric co-op."
-Jeff Ingle, General Manager, The Decatur Club
"Significant savings are evident since we have been part of the Chamber's Electric Co-Op."
-Lane Ransdell, First Christian Church
"I don't have to worry about my monthly rate fluctuating, which is great for projecting my budget."
-John Ninnemann, Downtown Cafe
Opportunity
Illinois deregulated electrical companies in January 2007, permitting the separation of power supply from transmission and distribution. Ameren Illinois Utilities supplies electricity and provides electrical transmission and delivery service to the Decatur area, but deregulation allows consumers to purchase power from a competitive field of suppliers. Through its Energy Co-Op, the Greater Decatur Chamber of Commerce demystifies the process of purchasing electricity and natural gas power on the open market and provides a means for area businesses to reap the benefits of buying in bulk.
Price Stability
The Co-Op pools the purchasing power of regional businesses, allowing members to stabilize their electricity and natural gas costs. By purchasing energy in advance at a set rate, Co-Op members remove the uncertainty of fluctuating rates and add predictability to their budget projections.
Credibility
Over 1,600 regional businesses currently participate in the Chamber’s Electric Co-Op. Through the aid and expertise of energy consultant Richard Anderson of CQI Associates, members take advantage of bulk purchasing, while leaving the headache of researching the best prices and providers to the professional. CQI has conducted 150 energy procurement bids since September 1999, purchasing an estimated $950 million of supply services for over 15,000 accounts in 16 states.
