Residents and small commercial businesses will receive a letter from Direct Energy soon, detailing the terms of the upcoming energy aggregation supply arrangement. This is not the first agreement for municipal energy aggregation, as energy aggregation was approved by the citizens of Galesburg with the election in November 2012. Notices are sent when contract cycles changeover to keep residents informed of the rates, length of each contract, and participation options.
The current municipal energy aggregation contract is with Constellation for standard power at a fixed rate of $0.1089 per kWh. This contract began in July 2025 and concludes with the June 2026 meter read date. At that time, the new contract with Direct Energy will go into effect, which provides for standard power at a fixed rate of $0.1276/kWh from the June 2026 meter read date through the August 2027 meter read date.
Citizens do not have to take any action, unless they would like to change their current supply arrangement. All citizens currently participating in municipal energy aggregation will be automatically enrolled in the new contract with no action needed. Citizens that have chosen their own supplier will remain on their current program. Participation in municipal aggregation from January 2025 to December 2025 saved Galesburg residents a total of $18,997.97, when compared with the standard Ameren rate.
While overall energy prices have increased, resulting in a higher rate for the current contract, it is anticipated that obtaining a set rate for this contract will once again prove beneficial for citizens. However, citizens always have the option to return to the utility or opt for a contract with an alternative supplier. The new rate will be an increase of $0.0187/kWh from the prior contract but represents the lowest fixed rate offered for this municipal energy aggregation contract. This contract is for 14 months, at which time rates will be bid again. Locking in a fixed rate ensures the rate will not increase during the term. The Ameren general utility electric supply rate price to compare is $0.12539/kWh, expiring September 2026, and subject to variance after that time.
Other energy suppliers may solicit Galesburg residents and small commercial businesses via phone, mailings, or door-to-door to enroll with their company. Caution is recommended, as these suppliers are not the supplier selected for municipal energy aggregation by the City of Galesburg and may not be able to provide the same rates or assurances as Direct Energy. Municipal aggregation enrollment with Direct Energy is automatic for all citizens who have not previously opted out to enroll with an alternative supplier or Ameren, and Direct Energy will not be soliciting through any of the means listed above or request a resident to sign a contract.
No matter who supplies the electricity, Ameren remains the delivery company. All Galesburg users would continue to contact Ameren in the case of outages, service calls, and emergencies.
***Courtesy of the City of Galesburg***
