Prior to program launch, a competitive bid will determine which Energy Service Company (ESCO) best meets the evaluation criteria established by the municipalities in the CCA program. The winning proposal will become the default supplier of electricity and may be a different supplier than now, however, the delivery of that electricity will still be through PSEGLI.
PSEGLI will also continue to maintain the infrastructure, poles and wires, etc., to get electricity from the supplier to your home. Depending upon who wins the competitive bid will determine whether one consolidated bill will still come from PSEGLI. Over the coming months the topic of consolidated billing where CCA programs are active, is being addressed at the State level since it is not an issue unique to Long Island.
Fixed rates will protect from energy price shocks. Instead of unpredictable variable rates, electricity from the CCA will be provided at a fixed rate at the same or less than PSEGLI's average rate over the previous year, so you'll know exactly what rate you'll pay over the entire year for Power Supply. The program will not launch if the price is higher then what Long Islanders are paying now.
There's no impact to taxes. The CCA recovers administrative costs through the rates, not taxes.
And as we said earlier, residents can choose to "opt-out" of this program at any time. So, there's no risk to residents or the Town of Southampton in implementing this money saving and environmentally responsible program.
