Canfield council adopts opt‑out electric aggregation agreement with Dyne Energy Services

Canfield City Council on Feb. 11 voted to adopt an ordinance authorizing the city to enter an opt‑out electric aggregation agreement with Dyne Energy Services East LLC, a single‑year contract intended to lock in a supplier price for the municipal aggregation program.

The move follows a presentation by Tom Bellish of Fakayama Chi Brokers, who said the proposed aggregation price would be about 8.66 cents per kilowatt‑hour and described the market forces behind recent price swings. "So what we have here is a renewal of the electric aggregation price," Bellish said. He added that the city’s prior three‑year fixed price had been 4.97 cents per kilowatt‑hour and was “a great price” for residents.

Bellish told council the regional PJM capacity costs are driving much of the increase: "Capacity rates currently are about $29 per MW, and they're going to $270 per MW… So that's what's driving electric prices in Ohio right now." He explained that capacity costs previously added roughly half a cent per kWh and are now adding about three cents per kWh, increasing the share of capacity in total generation cost.

Why it matters: the aggregation program lets eligible Canfield customers be enrolled automatically with the supplier unless they opt out. Bellish said the program applies only to meters inside city limits; accounts already under contract with another supplier would not be automatically included. He also said enrollment has no opt‑out fee. "Yeah. So free to opt out," Bellish said, while cautioning that customers who voluntarily switch away before May could lose the existing 4.97¢ rate that remains in effect through April.

Council discussion and vote: Council asked whether the program was limited to the city (Bellish: "This is just for inside the city limits.") and whether the supplier relationship had changed (Bellish: noting Energy Harbor was acquired by Dyne Energy). After discussion, council members voted to adopt the ordinance and declare an emergency; roll‑call responses recorded in the meeting indicated Mayor Dragish and council members Graham, Nash, Braggart, Brown and Ball voted in favor. The ordinance language read into the record was: "An ordinance authorizing entering into an agreement between the City of Canfield and Dyne Energy Services East LLC for an opt‑out electric aggregation program and declaring an emergency."

What Bellish said about bills and timing: Bellish explained the new contract would be for 12 months and that June bills would be the first to reflect the new rate. He said customers would still see Ohio Edison transmission and distribution charges on their bills and that the aggregation price is the generation portion: "To get to the total bill, there will still be the Ohio Edison charges."

Limitations and market monitoring: Bellish noted the market had fewer active suppliers and referred to pending legislation (House Bill 15) that he said could raise credit requirements and barriers for suppliers. He said his firm would continue monitoring the auction and “look for an opportunity to strike something better.”

Ending: The ordinance was adopted at the meeting and will be posted with city records. Councilmembers and staff said they expect the city to notify eligible customers as required under the program and that customers may choose to opt out at no fee.