FERC Filings

COMMENTS OF THE ELECTRIC POWER SUPPLY ASSOCIATION-Comments Regarding Retail Electric Competition-V010003

V. Aggregation

There is every indication that residential customers can benefit significantly from competition. Residential customers can benefit directly from all the cost efficiencies and service gains competition will deliver. The aggregation of residential and small business customer needs could well result in additional savings. Aggregation provides opportunities for small customers who may not otherwise be the target of marketing efforts by energy suppliers to participate in and benefit from the competitive market. Through aggregation, small customers are able to pool their purchasing power and wield the same influence as large customers. As the competitive market evolves, aggregators may also be able to secure valuable services, such as consolidated billing, energy management services, and energy use analysis for small customers. Moreover, some suppliers will offer other services with electric supply, such as natural gas supply, long-distance telephone service, Internet access and cable service. Aggregation is an increasingly effective tool for maximizing savings and mitigating risk in the competitive power market. For instance, Green Mountain Energy was selected in February to serve more than 400,000 electricity customers in Ohio in the nation’s largest-ever energy aggregation contract to date. The Northeast Ohio Public Energy Council formed the electricity buying group to serve nearly 100 communities in the state.