Summit Residents Save More Than $48,000 Through Community Energy Program, Officials Say

SUMMIT, NJ — Summit residents participating in a community electricity program have saved more than $48,000 in the first two months of a new contract cycle, according to an update presented at a June 16 City Council meeting.

The savings come as many households continue to deal with higher utility costs, and officials said the program is designed to help stabilize electricity supply pricing through bulk purchasing.

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Lisa Hibbs, Director of Sales and Project Management for the Government Sector at Concord Energy Services, said the early results reflect savings across participating households since the current contract began in March.

“The good news, participating residents in the city of Summit have saved a collective total of over $48,000 in the first two months of the program,” Hibbs said. She added that the average household savings is about $9 per month.

The program is part of the Garden State Community Energy Cooperative, which includes Summit along with Lincoln Park, Jefferson Township, Mount Olive Township, and Mount Arlington. It works by pooling municipal electricity demand and negotiating supply rates through a competitive auction process.

A 19-month contract with Direct Energy Services began in March following that auction, Hibbs said.

For enrolled residents, the program sets a standard electricity supply rate of 14.46 cents per kilowatt-hour, with an optional 100% renewable energy rate available at 14.61 cents per kilowatt-hour. Both rates are lower than the utility’s default supply rate, according to program officials.

Enrollment is automatic for eligible households unless residents choose to opt out. In Summit, 1,608 of 7,647 eligible households opted out, or about 23 percent.

Hibbs said that level of participation is typical for municipalities in their first year in the program, noting that many residents are still becoming familiar with how it works.

Council members asked about how opt-out decisions are handled when new contracts begin. Hibbs said residents generally must opt out again each time a new agreement is approved unless they contact the program’s customer service line to request a permanent opt-out status.

She also addressed questions about what happens if a resident falls behind on payments, explaining that accounts are not immediately removed from the program and that changes typically occur after a set period tied to billing procedures.

City officials are expected to review whether to continue participation ahead of the next contract cycle.