Since the City of Urbana placed municipal electric aggregation into effect on May 8, over 11,000 residential and small business electrical customers saved more than $500,000 in the first three months following the new electrical plan.

The average Urbana customer saw their power bill reduced by about $45 from July through September.

Municipal electric aggregation allows Urbana to purchase electricity in bulk from Homefield Energy, located in Collinsville. The electricity can then be provided both to residents and small businesses. Urbana residents voted in approval of the aggregation plan during a March 20 primary.

The American default rate for energy is 6.16 cents per kilowatt hour for June through September and 5.45 cents for October through May, but Urbana’s Mayor Laurel Prussing accepted a bid from Homefield Energy that will supply electricity to Urbana for 4.05 cents per kilowatt hour.

In addition to the savings on their electricity, customers of Homefield Energy will be receiving energy produced from renewable sources, such as wind energy. The renewable energy will help to offset carbon emissions.

Prussing originally estimated that the municipal electric aggregation program would electricity customers in Urbana at least $100 to $125 per year, but the three month figures prove these estimates to be conservative.