Village Manager s Office

Transcription

1 Village Manager s Office SUBJECT: Consideration of a Resolution approving a one-year extension of the Power Supply Agreement with MC Squared Energy Services, LLC for the Village s electric aggregation program. AGENDA ITEM: 9.b.i. MEETING DATE: March 17, 2015 VILLAGE BOARD REPORT TO: Village President and Board of Trustees FROM: Don Owen, Deputy Village Manager ( ) Sarah Kuechler, Assistant to the Village Manager ( ) THROUGH: Todd Hileman, Village Manager PURPOSE AND ACTION REQUESTED: Staff requests Village Board consideration of a one-year extension of the Power Supply Agreement with the Lakeshore Power Alliance s selected supplier MC Squared Energy Services, LLC for the Village s electric aggregation program and authorizing the Village Manager to execute documentation to secure a final electricity price for the extension. BACKGROUND: On November 13, 2012, the Village of Glenview adopted a municipal electric aggregation program. The Village joined with the Lakeshore Power Alliance (LPA), consisting of the Villages of Wilmette, Kenilworth and Northfield, and contracted with the Alliance s selected supplier MC Squared (mc 2 ). The LPA entered into a three year deal with mc 2 where the electrical rate is renewed each year while mc 2 s vendor margin is kept flat. The summary of the rate history compared to the ComEd rate is shown below: Table 1 Rate History Lakeshore Power Alliance (LPA) Rate Estimated Average ComEd Rate* Estimated Savings Year 1 (Jan 2013 May 2013) % Year 2 (June 2013 May 2014) % Year 3 (June 2014 May 2015) % *The ComEd base rate can fluctuate +/- 0.5 cents/kwh on a monthly basis

2 The three year agreement with mc 2 expires in May To date, Glenview residents participating in the program have saved a total of $4 million, or approximately $280 average per customer on average. DISCUSSION: As is evident in the rate history, the percent savings for members in the program has decreased significantly. This reduction in savings is due largely to the Illinois Power Agency restructuring how ComEd can purchase power along with regulatory changes to other charges impacting the rate. For more information on the changes that have impacted the rate savings, see the attached memo from the April 17, 2014 Board meeting. With the upcoming expiration of the agreement, the LPA and Village considered several options in regards to the program: 1. Extend the agreement by one year and seek new pricing that achieves savings compared to ComEd 2. Issue a Request for Proposals (RFP) to find a new vendor 3. Terminate the program and return customers to ComEd Members of the LPA, Mark Pruitt (LPA s consultant), and mc 2 have met several times throughout the year to discuss all of the options above. Based on these discussions, a majority of the members of the LPA reached a consensus to recommend pursuing Option 1. Option 1 will allow staff to work with the LPA and mc 2 to secure a new rate for the fourth consecutive year. Mr. Pruitt and mc 2 are confident that an opportunity for savings for residents and small business owners will continue to exist next year. Concurrently, Option 2 is not recommended as consortiums that have recently re-bid their electrical loads have found results to be unfavorable with vendor margin costs increasing. The LPA has one of the lowest vendor margins in the ComEd territory and mc 2 has committed to the same vendor margin for an additional year. Option 3 is not recommended at this time as the potential for savings still exists and members who do not wish to participate in the program may continue to leave at any time without a cost penalty. At the February 3, 2015 Village Board meeting, the Board directed staff to pursue Option 1. As a result, members of the LPA along with Mr. Pruitt and mc 2 met to discuss renewing the program for one year. Currently, Mr. Pruitt and mc 2 are projecting the ComEd rate to be between 7.25 and 7.3 cents/kwh for upcoming renewal term (June May 2016). Indicative pricing provided by mc2 is currently between 6.8 and 6.9 cents/kwh, providing estimated savings between 5 and 7%. As done in prior annual price resets, the LPA receives daily price quotes until a price is locked. Once a price is locked, staff will work with mc 2 to send price notification letters to all residents participating in the program to inform them of the new rate and term. Due to regulatory changes, ComEd is no longer required to post fixed rates for the year. Therefore, the ComEd rate could fluctuate, higher or lower, between June 2015 May As such, staff will be proactive to post month-by-month rate comparisons on the Village website to keep participants informed. Please see attached example which has also been posted on the

3 Village website ( under Residents Households Electric Aggregation Program). Residents have the option to switch to ComEd or another alternative supplier at any time at no charge. Some residents may receive ComEd smart meters within the next year, however smart meter installation will not impact a resident s electric supply provision. However, with the data and analytics from a smart meter, residents may be more apt to explore peak-time pricing programs where the supply rate varies by the hour. BUDGET: The Village of Wilmette is serving as the coordinator with the Alliance s consultant. Consultant costs will be split between the LPA communities. The cost is expected to be minimal approximately $3,000 or less. RECOMMENDATION: Staff recommends approving a Resolution authorizing a one-year extension of the Power Supply Agreement with MC Squared Energy Services, LLC for the Village s electric aggregation program and authorizing the Village Manager to execute documentation to secure a final electricity price for the extension. ATTACHMENT: 1. Resolution and First Extension of Power Supply Agreement with MC Squared Energy Services 2. Rate Comparison through January Board Memo from April 17, 2014

4 Attachment 1: Resolution and First Extension of Power Supply Agreement with MC Squared Energy Services LLC

5 RESOLUTION NO. A RESOLUTION APPROVING A ONE YEAR EXTENSION FOR THE PROVISION OF ELECTRICITY WITH MC SQUARED ENERGY SERVICES, LLC FOR THE VILLAGE S ELECTRICITY AGGREGATION PROGRAM AND AUTHORIZING THE VILLAGE MANAGER TO EXECUTE DOCUMENTATION TO SECURE A FINAL ELECTRICITY PRICE FOR THE PROGRAM WHEREAS, the Village of Glenview (the Village ) is a home-rule municipality located in Cook County, Illinois; WHEREAS, the Village has the authority to adopt laws and promulgate rules and regulations that pertain to its government and affairs that protect the health, safety, and welfare of its citizens; WHEREAS, pursuant to Section 1-92 of the Illinois Power Agency Act, 20 ILCS 3855/1-1 et seq. ("Act"), on November 13, 2012 the corporate authorities adopted Ordinance No. 5592, authorizing the establishment of an opt-out program for the aggregation of electrical loads of residential and small commercial retail customers in the Village ( Electricity Aggregation Program ) and pursuant to Section 1-92(b) of the Act, approving a plan of operation and governance for the Electricity Aggregation Program; WHEREAS, the Village is a member of the Lakeshore Power Alliance ( Consortium ), an intergovernmental association formed to facilitate the cooperation of its member municipalities toward obtaining the most favorable electricity rates for their respective residents and small businesses; WHEREAS, pursuant to the Act, the Alliance sought proposals for the award of a contract for the provision of electricity for the Electricity Aggregation Program;

6 WHEREAS, the Village, pursuant to Resolution No , entered into a three-year Power Supply Agreement on November 27, 2012 with MC Squared Energy Services, LLC ( Agreement ) which is set to expire in May 2015; WHEREAS, MC Squared Energy Services, LLC and the Village have found it beneficial to extend the Agreement by one year ( First Extension ); WHEREAS, pursuant to the terms of the Agreement, MC Squared Energy Services, LLC and the Village, will, on a daily basis, monitor the electricity market to identify and establish a final price for the electricity to be supplied for the First Extension to the Agreement; WHEREAS, the Village expects that the daily market price quotes will result in a final electricity price for the First Extension to the Agreement that is deemed to be advantageous to the residents and small businesses within the Village; and WHEREAS, in order to preserve the ability of the Village to establish a final electricity price for the Electricity Aggregation Program at as low a price as practicable, the Village President and Board of Trustees have determined that it will serve and be in the best interests of the Village to: (i) approve the amendment to the Agreement between the Village and MC Squared Energy Services, LLC; and (ii) authorize the Village Manager to execute, on behalf of the Village, all documentation necessary to secure a final electricity price for the First Extension to the Agreement, in accordance with the terms of Exhibit A attached hereto. NOW, THEREFORE, be it resolved by the President and Board of Trustees of the Village of Glenview, Cook County, Illinois, as follows: Section 1. Recitals. The foregoing recitals are incorporated into, and made a part of, this Resolution as the findings of the President and Board of Trustees of the Village.

7 Section 2. Approval of First Extension to the Power Supply Agreement The First Extension to the Power Supply Agreement by and between the Village and MC Squared Energy Services, LLC shall be, and is hereby, approved in substantially the form attached to this Resolution as Exhibit A, subject to final Village Attorney approval. Section 3. Authorization to Execute Documentation. A. The President and Board of Trustees shall, and do hereby, authorize the Village Manager to execute, on behalf of the Village, all documentation necessary for the establishment of a final electricity price, for a term of one year ending on May 31, 2016, for the Electricity Aggregation Program, in accordance with and pursuant to the Agreement, and in cooperation with MC Squared Energy Services, LLC. B. This Resolution shall not be deemed or interpreted as obligating the Village Manager to execute any documentation related to the establishment of a final electricity price for the Electricity Aggregation Program. In the event that the Village Manager determines, in his discretion and in cooperation with the Consortium, that, on any given day, the daily market price quotes for any term are not favorable to the Village, then the Village Manager shall be, and is hereby, authorized to reject such quotes on behalf of the Village. Section 4. Effective Date This Resolution shall be in full force and effect from and after its passage and approval as provided by law. PASSED this day of, AYES: NAYS: ABSENT:

8 APPROVED by me this day of, James R. Patterson, Jr., President Village of Glenview, Cook County, Illinois ATTEST: Todd Hileman, Village Clerk Village of Glenview, Cook County, Illinois

9 FIRST EXTENSION OF POWER SUPPLY AGREEMENT BY AND BETWEEN THE VILLAGE OF GLENVIEW AND MC SQUARED ENERGY SERVICES, LLC This First Extension ( Extension ) is entered into as of this day of March 2015 between the Village of Glenview, Cook County, Illinois, an Illinois municipal corporation (hereinafter the Village ) and MC Squared Energy Services, LLC (hereinafter the Supplier ) (each a Party and collectively, the Parties ). WHEREAS, Supplier and Village are the Parties to a Power Supply Agreement dated November 27, 2012 (hereinafter the Agreement which is hereby incorporated by reference); WHEREAS, the Parties wish to amend the Agreement and extend the term of the Agreement at an amended, updated price and under an amended price adjustment procedure; NOW, THEREFORE, the Parties agree as follows: 1. The Parties agree that Article 5.E. of the Agreement will be struck in its entirety, and that the Parties will develop a procedure for Supplier to offer and Village to accept an indicative fixedprice bid by March 20, The procedure is detailed in Attachment 1 of the extension. If the Village does not accept a fixed-price by March 20, 2015 or another date mutually agreed upon by the Village and Supplier, then this Extension shall be terminated and the Parties shall follow the procedure in Attachment Pursuant to Article 8.B of the Agreement, the Parties hereby agree to change the termination date in Article 3 of the Agreement from ComEd s June 2015 Billing Cycle to ComEd s June 2016 Billing Cycle, and, thereby, extend the term of the Agreement for 12 months through the last day of ComEd s May 2016 Billing Cycle. 3. The Parties agree that the Price for Services during this Extended Term shall be as depicted on the Amended Exhibit A attached hereto, which replaces Exhibit A to the Agreement. 4. Exhibit A and Attachment 1 attached to this Extension are, by this reference, incorporated into and made part of this Extension. IN WITNESS WHEREOF, the Parties have duly executed this Extension to be effective on the date first written above. Supplier: MC Squared Energy Services, LLC Signed: Printed/Typed Name: Charles C. Sutton Municipality: Village of Glenview Signed: Printed/Typed Name: Todd Hileman

10 Title: President Date: Title: Village Manager Date: Attest: Signed Attest: Signed Printed/Typed Name: Title: Printed/Typed Name: Title:

11 EXTENDED TERM AGREEMENT AND PRICE AMENDMENT NO.1 AMENDED EXHIBIT A: ALLIANCE MUNICIPAL AGGREGATION SUPPLY PRICING CONFIRMATION QUOTE DATE: March XX, 2015 TRANSACTION CONFIRMATION This Transaction Confirmation, once fully executed, is a Transaction Confirmation entered into pursuant to the terms of the Power Supply Agreement By and Between The Village of Glenview (the Village ) and MC Squared Energy Services, LLC, (the Supplier ) and forms a part thereof. Supplier and the Village agree that the Aggregation shall receive the Fixed Total Price set forth below for the Delivery Period set forth below: Delivery Period: June, 2015 meter read date through May, 2016 meter read date* Fixed Commodity Price: X.xxx cents per kwh Pass Through Items: ComEd POR %: ComEd UCB Charge: 0.xxx cents per kwh 0.xxx cents per kwh Vendor Margin: cents per kwh Fixed Total Price: X.xxx cents per kwh* Individualized or Enhanced Renewable Energy Mix (June, 2015 meter read date through May, 2016 meter read date): 0.1xx cents per kwh *The Fixed Total Price does not include utility distribution charges or applicable taxes. Members shall be served at the Price delineated in this Amended Exhibit A and in accordance with the revised Terms and Conditions contained in Attachment C to the Power Supply Agreement dated November 27, The Price includes various pass through charges, including without limitation those charged by ComEd to any ARES Supplier, and ISO (PJM), for transmission, capacity and ancillary services authorized by the Federal Energy Regulatory Commission and the Illinois Commerce Commission or other local, state and federal jurisdictional bodies (such charges collectively referred to herein as Pass Through Charges ). For avoidance of doubt, the Parties acknowledge and agree that this does not in any way affect Supplier s rights to adjust its Price under Article 6 of the Agreement, between the Parties executed on November 27, 2012 for reasons other than those set forth in this Amended Exhibit A that are otherwise permissible under Article 6. Supplier will provide notice of the estimated impact of the change to the Village as soon as commercially practicable upon Supplier itself receiving notice of the amount of the change from the jurisdictional body, ComEd or ISO. A duly authorized representative of the Village must affirm acceptance of the above Fixed Commodity Price quote by: a)

12 verbally accepting the quote via telephone to Vendor at is XXX-XXX-XXXX, and b) by affirming acceptance of the quote in writing by transmitting a fully executed copy of this Transaction Confirmation to: adebortoli@mc2energyservices.com Both verbal acceptance and written affirmation of acceptance of the terms of this Transaction Confirmation must be received by Vendor no later than 4 PM prevailing Central Time ( Daily Acceptance Deadline ) on the Quote Date indicated above. Failure to do so shall cause the Fixed Total Price quote for that Quote Date to lapse and to be of no binding effect. Village of Glenview: By: Name: Title: Date: Vendor: MC Squared Energy Services, LLC By: Name: Title: Date:

13 ATTACHMENT 1 Lakeshore Power Alliance Renewal Extension Schedule 2015 DATE ACTIVITIES 3/17/15 Village s Approval of letterheads and Outer Envelope (OE) 3/20/15 Deadline to sign contract and set fixed price 3/20/15 3/25/15 Printer Prep/Type Setting 3/23/15 Supplier Order letterhead and OE 3/26/15 Supplier to send final letter to Printer 3/31/15 Final approval of final letters and documents by towns go to print 4/6/15 Opt Out mailing drop for all 4/20/15 Last Day to Opt Out (14 days) for Glenview and Northfield 4/27/15 Last Day to Opt Out (21 days) for Wilmette and Kenilworth 4/23/15 Drop/Enroll DASR for meter cycles 7-21 (Glenview, Northfield) 4/28/15 Drop/Enroll DASR for meter cycles (Wilmette, Kenilworth) 5/11/15 First meter cycle start for the New Price for meter cycle 7 Glenview & Northfield Board Meetings 3/17; First meter read cycle 7 Wilmette Board Meeting 3/10: First meter read cycle 12 Kenilworth board meeting 3/16: First meter read cycle 14 Lakeshore Power Alliance Pricing Process Supplier to provide indicative pricing starting March X, 2015, no less frequently than every other day. Pricing will be in a format similar to Amended Exhibit A. 2. Supplier to provide executable pricing starting on March X, 2015 for [specific timeframe], in a format similar to Amended Exhibit A. 3. After signing the First Extension, Lakeshore Power Alliance members to accept pricing no later than March 20, 2015; execute Amended Exhibit A according to designated process on Amended Exhibit A. 4. If a price is not accepted by 5:00 p.m. (CDT) on March 20, 2015 and the First Extension is terminated, pursuant to the Terms and Conditions, mc 2 will send each customer a

14 Supplier renewal offer. Supplier agrees to include a pre-addressed postcard or form with return envelope with the renewal offer that will facilitate each customer s response.

15 Attachment 2: Rate Comparison

16 Rate Comparison -- Through January 2015 Electric Aggregation Price with MC Squared vs. Effective ComEd Rate Year 1 Year 2 Year 3 (current) Effective Monthly Billing Period Monthly PEA Charge or (Credit)* (cents/kwh) ComEd Rate (Rate BES) Effective ComEd Rate mc2 Price Difference % Savings Janurary 2013 (0.094) (4.17) 50.84% Febuary (4.77) 54.16% March 2013 (0.500) (3.77) 48.28% April 2013 (0.500) (3.77) 48.28% May 2013 (0.500) (3.77) 48.28% June 2013 (0.500) (0.03) 0.68% July (0.86) 14.66% August (1.03) 17.20% September (1.07) 17.65% October (1.03) 17.12% November (1.03) 17.12% December (1.03) 17.12% Janurary (1.05) 17.37% February (1.05) 17.37% March (1.05) 17.37% April (0.99) 16.56% May (1.05) 17.37% June 2014 (0.500) (0.38) 5.31% July 2014 (0.500) (0.38) 5.31% August 2014 (0.500) (0.38) 5.31% September 2014 (0.361) (0.59) 8.01% October 2014 (0.500) (0.27) 3.84% November 2014 (0.500) (0.21) 3.04% December 2014 (0.500) (0.21) 3.04% January 2015 (0.500) (0.21) 3.04% *The ComEd base rate can fluctate +/- 0.5 c/kwh on a monthly basis -- shown as Purchase Electricity Adjustment (PEA) charge.

17 Attachment 3: Board Report from April 17, 2014

18 Village Manager s Office SUBJECT: Electric supply price established for third year of the contract with the Lakeshore Power Alliance s selected supplier MC Squared AGENDA ITEM: 5.a. MEETING DATE: April 17, 2014 VILLAGE BOARD REPORT TO: Village President and Board of Trustees FROM: Don Owen, Deputy Village Manager ( ) Sarah Kuechler, Assistant to the Village Manager ( ) THROUGH: Todd Hileman, Village Manager PURPOSE AND ACTION REQUESTED: To provide an informative update on the electric supply price established for the third and final year of the contract with the Lakeshore Power Alliance s selected supplier MC Squared Energy Services, LLC ( MC Squared ), which will be June 2014 to May BACKGROUND: On November 13, 2012, the Village of Glenview adopted a municipal electric aggregation program. The Village joined with the Lakeshore Power Alliance, consisting of the Villages of Wilmette, Kenilworth and Northfield, and contracted with the Alliance s selected supplier MC Squared. The program has resulted in savings for residents from the default comparable ComEd rate. From January 2013 through May 2014, MC Squared projects the average resident will have saved a total of $259 on electric supply costs against comparable ComEd rates, and the average small business will have saved $190. This represents an estimated total savings of $3.7 million for Glenview customers. DISCUSSION: Year 3 Pricing (June May 2015) The Lakeshore Power Alliance members have met over the past couple months in preparation of our rate lock opportunity for the third year of the contract (June 2014 to May 2015). The consortium annually locks in an electric rate with the assistance of our consultant, the Illinois 1

19 Community Choice Aggregation Network, for the purchase of electricity through the aggregation supplier MC Squared. MC Squared s low vendor margin (profit) of cents/kwh has remained the same across all three years of the contract. Commodity price and charges set by tariff change year to year. The Lakeshore Power Alliance recently locked in an electric supply rate for the third year of the contract of cents per kwh, covering June 2014 through May This is an increase from the current Year 2 price of cents per kwh; however, the new price is projected to continue to provide savings against comparable ComEd rates of approximately 11.6%. Savings are not as favorable as when the consortium was first formed (as expected) due to expiration of long-term power supply contracts held by ComEd in 2013 and changes in commodity price and capacity charges. Please see Table 1 below with rate history. Table 1 Rate History Lakeshore Power Alliance (LPA) Rate Estimated Average ComEd Rate Estimated Savings Year 1 (Jan 2013 May 2013) % Year 2 (June 2013 May 2014) % Year 3 (June 2014 May 2015) % The increase in price from Year 2 to Year 3 is largely due to two factors: 1. Higher capacity costs which are set by a regional transmission organization and are applicable to all electrical customers served by the ComEd transmission system, regardless of supplier. This cost is set by tariff and is uncontrollable. 2. Higher commodity prices as a result of increased natural gas costs due to a much higher demand over the past winter period. Higher natural gas costs increase the cost to produce electricity. It is important to note that residents can enter or exit the program at any time without a fee and this will be included in communications. Communication to Residents MC Squared will send price notification letters to all residents participating in the program to inform them of the new rate and term (letters will be on Village letterhead). Information will also be featured on the website, Village newsletter, e-glenview, or draft press releases as needed. Neither the Village nor its supplier, MC Squared, will contact a resident by phone or ask for their account number. Residents should be cautious of aggressive solicitors that may try to switch their energy suppliers without an approved transfer. 2

20 Final Year of the Contract This is the final year of the contract with MC Squared for the Alliance. The four communities will work together over the next year to asses continuing operation of the program and evaluate reissuing an RFP to select an electricity provider. ATTACHMENT: 1. Sample Price Notification Letter to Residents 3

21 Attachment 1: Sample Price Notification Letter to Residents 4

22 ***********AUTO**5-DIGIT Glenview, IL April 11, 2014 ComEd Service Address: Glenview, IL Re: Glenview Electric Aggregation Program Dear Valued Customer: On November 6, 2012, residents of the Village of Glenview approved a referendum authorizing community leaders to buy electricity in bulk from a supplier other than ComEd. Subsequently, Glenview, Wilmette, Kenilworth, and Northfield formed the Lakeshore Power Alliance ( Alliance ) and selected MC Squared Energy Services, LLC ( mc² ) to provide electricity supply services to member communities through May Since the start of the program, it is estimated that the average residential customer in Glenview saved over $259* on their electricity supply services against comparable ComEd rates. Per the Power Supply Agreement terms with mc², your price is reset each June billing cycle to reflect the current market conditions. The new price beginning on the June 2014 billing cycle will be cents per kwh. The new price is projected to continue to provide savings against ComEd rates. We expect the actual ComEd Rates to be published in mid-may 2014, please visit to see the actual Electricity Supply Charges. Please check the chart below for the estimated ComEd Rate compared to your new mc 2 price. You will notice an increase in the price this period due to higher capacity costs which are set by a regional transmission organization that oversees the electricity market in the Chicago region. Accordingly, these costs cannot be controlled by the Village and are applicable to all electrical customers served by the ComEd transmission system, regardless of electricity supplier. mc 2 Fixed Price (Non-Green) Estimated ComEd Tariff Rate Your Estimated Savings** Electricity Supply Charges /kwh 7.6 /kwh 11.6 % Cost adjustment on January 1, Effective January 2015, ComEd will be changing the way transmission costs are allocated. These costs are entirely set by ComEd and are designed to allow them to recover expenses associated with the transmission of electricity. Any adjustment in price will be directly passed on to all electric aggregation program members by mc 2. What if the ComEd rate is lower than the mc 2 rate? The Village projects that the ComEd rate will continue to be higher than the price offered by mc 2 through the remainder of this contract period. If the ComEd rate drops below the mc 2 rate, you can cancel the contract with no penalty. Upon cancellation of the contract, you may return to ComEd or enter into an agreement with another supplier. If you wish to be excluded from this opportunity please call mc 2 at

23 There is nothing you need to do in order to continue with the program and enjoy the savings. mc 2 will automatically update the pricing starting with your June billing cycle. Your billing and service will remain the same: You will continue to receive a single bill from ComEd, and continue to be eligible for all ComEd payment options, including e-bill, automatic bill payment and budget billing. ComEd continues to be responsible for the wires, poles, and all emergencies, including outage restoration. Individual Choice Green Power Program. If you wish to participate in our 100% Green Power Program for an additional 0.14 cents per kwh (rate increases from to cents per kwh), simply Opt-In to the Green Power Program at mc 2 will purchase Renewable Energy Certificates to cover 100% of your electricity supply requirements to support clean energy sources. If you were already a member of the Green Power Program, there is nothing you need to do in order to continue your participation in the Program. Your rate will be cents per kwh and your estimated savings is 10%**. For more information, please visit You can also your questions to Lakeshore@mc2energyservices.com or call mc 2 at , Monday through Friday, 8 a.m. to 5 p.m. Sincerely, James R. Patterson, Jr. Village President * The savings estimate is based on the average savings of all Glenview members based on actual and forecasted volumes, between December 2012 and May 2014, as compared to their comparable ComEd Basic Electric Service Rate including the Purchased Electricity Supply Charge, Transmission Services Charge and Purchased Electricity Adjustment Charge for the same time period. ** Savings estimates are based on a comparison to an estimated ComEd Basic Electric Service Rate starting June 2014 through May 2015, including the estimated Electricity Supply Charge and the estimated Transmission Services Charge and a Purchased Electricity Adjustment Charge estimated at 0.5 cents/kwh. The estimated ComEd rate was derived by mc 2 by taking the current rate and adjusting it for the increase in capacity cost and projected energy supply costs for a single family account with average annual usage.