The City of Kinmundy has pulled the plug on electric aggregation and is advising residents they can purchase electricity for less money directly from Ameren.
City officials are not happy with Affordable Gas and Electric for providing no notification that purchasing electricity through their electric aggregation agreement had become more expensive than working directly with Ameren. It was through a chance hearing on the radio of a situation in another town that led to the discovery.
Mayor Jane Middleton says the current aggregation contract that charges more than Ameren will remain in effect until December 30th, but residents can switch back to Ameren now by calling the utility. Once the contract ends, Kinmundy will no longer participate in aggregation, and customers are expected to automatically go back to Ameren.
AGE’s Senior Energy Consultant Rob Wielt who had come to the meeting on a different contract said the situation developed because of the declining cost of electricity. He said it was a management decision not to send out a notice to communities to inform them of the situation. Wielt apologized for the company’s action.
After the meeting, he told WJBD-WSIQ news that a number of other area communities who were part of the same aggregation contracts were also paying more than through Ameren directly.
The board did agree to enter into a new one-year agreement with AGE for the city’s commercial use of energy including street lights. The rate is lower than Ameren, but with the electric aggregation experience, the board didn’t feel comfortable entering into a longer-term deal although Wielt felt electric rates were probably at the lowest rate they would go.
Those with docks on the new Kinmundy Lake will likely face a lease fee in the future. The board is concerned about picking up the liability for the docks that were built without permission on city-owned land. The city attorney will be given information to develop the lease agreements. While members of the board agreed residents needed to pay a lease fee, no amount was agreed upon.
In other action, the board voted to purchase $250 in paint to paint the playground equipment in the park. The board also agreed to purchase necklaces for the police department to hand out during trick or treating on Saturday, October 31st.
