Government Aggregation

Helping Your Community Lower Energy Costs

Communities are continually looking for beneficial services to improve their residents’ livelihood and increase sustainability. Through governmental energy aggregations, municipalities, counties, townships, and villages may be able to help residents and small businesses lower costs on their electricity supply.

The deregulation of electricity in many states and the creation of rules that allow for the formation of governmental aggregations, has made it possible for municipalities to aggregate or combine their purchasing power to help manage supply costs for their community.

AEP Energy has experience and knowledge in helping to administer aggregation programs. Our energy experts will work with you to ensure you are aware of your options and that your community is getting the best value in the market.

What are the Benefits of a Governmental Aggregation?

  • Negotiate a low electricity supply price by “pooling” together the electric load of your constituents
  • In most cases an aggregation can lower costs on a community’s electricity supply
  • Enrollment is simple and your local utility continues to provide the delivery of electricity and billing

How It Works

A governmental aggregation offers residents and small businesses a chance to receive a lower electricity supply price than they may be able to receive on their own. An aggregation can be implemented once a community meets the necessary rules by its state regulators, which may include voter approval through a ballot issue.

There are typically two types of governmental aggregations: 1) an opt-out program; and 2) an opt-in program. With an opt-out program, all eligible residents and small businesses are automatically enrolled, unless they individually choose to “opt-out” of the program with no penalty. Some communities may prefer an opt-in program, which permits each customer to sign up individually to participate in the program.

Get Started

AEP Energy will work with you to help administer your program, provide competitive electricity supply pricing and, ultimately, lower electricity supply costs for your community.

If your community is interested in a governmental aggregation or if you have questions, please complete our online form and we will respond within 1-2 business days .