Deadline Today for Opting Out of New Electricity Program

Residents who want to opt out of the village's new electricity agreement must post-mark a form to do so by today, though Mayor Tim Baldermann warns that finding bigger savings than the village did could be tough.

Earlier this month, the village of to provider cheaper electricity rates to residents at an aggregated cost, simply like buying in bulk, and the savings could be about 25 percent annually.

People who don't do anything will be automatically enrolled in the program, but the only change they'll see is a lower electricity bill; ComEd will still handle billing and maintenance.

However, if a resident wishes to find his or her own electricity provider, a form must be mailed to Direct Energy and post-marked with the July 27 date. A letter was mailed to residents by the village that included information on the program as well as the form to opt out. If you have questions or didn't receive the form, call Direct Energy at 1-866-760-6040 to opt out.

"If you don't like it, check the box and say you don't want it," Baldermann said. "I didn't opt out. I'm looking forward to my savings."

Even if you don't opt out and decide later that you would like to pursue a different provider, you can terminate your contract with Direct Energy at no cost. Whereas, if you join another provider and later decide to switch to Direct Energy, that other company could potentially charge fees for early termination.

That's what happened to resident Bill Walter, who said he switched from Excelon, the village's current provider, to another company earlier this year. But after seeing the rates the village got through direct Energy—5.89 cents per kilowatt hour and 5.79 cents for seniors—he considering paying $150 to get out of his current contract so he can join the village's program.

Although the choice is entirely in the hands of the residents, some felt the Direct Energy program was too good to risk not finding lower rates on their own.

"We had planned to opt out but it seems like you are being forced not to," resident Nicole Yaniz said, clarifying that, "otherwise I have to go into (a) separate agreement with (the) current provider and then if I decide to switch later on, terminate and potenitally pay to cancel my contract."

Baldermann said the village has received at least 100 phone calls from residents, though most were from people who were confused and later happy to learn about the savings. Still, others were upset and felt they were being forced into something, even though the decision is up to people whether to join. See below for some common questions Baldermann said he encountered:

What gives the village the right to do this? In April, about 60 percent of voters favored a referendum that gave the village the authority to seek lower, aggregated electricity rates for residents. Following , the village received eight bids and selected Direct Energy.

Why is it an opt-out program and not opt-in? State law dictates that residents must opt-out when a municipality enter an aggregated program. Residents have actually had the option of choosing their own provider for more than a decade, but very few have done so. That's why, starting this year, municipalities were able to do so on behalf of residents.

Why can't I stay with ComEd? Currently, you aren't getting ComEd electricity. Since the market was deregulated, ComEd has simply been a supplier, delivering the electricity from other providers. Excelon currently provides New Lenox's electricity. Entering into the program with Direct Energy won't change billing or maintenance, which will still be handled by ComEd.