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Tarentum council highlights regional power squeeze, adopts AMP mutual-aid agreement

2310114 · February 12, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Council members screened a two-minute video and discussed higher regional electricity capacity costs before adopting an ordinance to join mutual-aid through American Municipal Power (AMP). Borough management said the supplier change to AMP is expected to produce sizable annual savings.

Tarentum Borough Council members discussed regional electricity supply constraints affecting 13 states and adopted an ordinance authorizing mutual aid through American Municipal Power (AMP).

A two-minute video from the Pennsylvania Municipal Electric Association (PMEA) was shown early in the meeting to explain capacity and grid-connection problems in PJM, the regional grid operator that serves Pennsylvania and 12 other states. The video said recent PJM capacity-auction results reflected sharply higher prices driven by a shrinking power supply and rising demand. Council members and staff said those trends are being felt locally.

The matter was highlighted again in the borough’s management report: the borough has transferred its power-supplier contract from PSEG to American Municipal Power (AMP). Borough management reported the change will produce “estimated $700,000–$800,000 annually” in savings to the borough’s electric system. The council characterized the savings as returning to municipal services rather than going to outside shareholders; Council President Scott Podnoski said, “We don’t have shareholders. You are our shareholders.”

After discussing operational benefits and the borough’s limited lineman staff, the council unanimously adopted ordinance 25-04, authorizing execution of an AMP mutual-aid agreement. The ordinance allows the borough to receive and provide personnel and equipment assistance to other participating municipal electric systems during emergencies. Council members said the mutual-aid provision is especially important given the borough’s single lineman and the limited internal capacity to respond to large outages.

Nut Graf: The council took two linked steps to strengthen local electric service: (1) move the borough’s supply contract into AMP membership to capture projected cost savings and (2) adopt a mutual-aid agreement to gain access to regional field crews and equipment in emergencies. Both items were advanced as operational measures to protect local service reliability while the region addresses supply and permitting constraints.

In the meeting, council members repeatedly framed higher capacity costs as a regional problem originating in PJM’s market and generation-connection backlog; they urged residents who want broader regulatory change to contact state officials. The council did not make policy changes to utility rates during the meeting and spoke only of the supplier change and the mutual-aid agreement.

Ending: The AMP mutual-aid ordinance passed unanimously. Borough staff said the supplier transition and mutual-aid arrangements aim to shore up reliability and stabilize the borough electric fund while capacity issues persist across the PJM footprint.