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Monett And Mount Vernon to begin using new wholesale electric power supplies

Thursday, May 28, 2020  
Posted by: mpuaonline
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COLUMBIA, MO, MAY 22, 2020 – On June 1, citizens and businesses in Monett and Mount Vernon will begin receiving power supplies from their new supplier, the Missouri Joint Municipal Electric Utility Commission (MJMEUC).


“The change in power supply brings greater rate stability and economic development opportunities for customers,” said John Grotzinger, Chief Operating Officer for MJMEUC. “Power supply contracts, transmission contracts, ancillary service agreements, communication equipment and metering are all in place to begin providing service. Local customers will not experience any service interruptions because of the change.”


The change completes a process that began in 2017, as several cities in the region approached the expiration of their previous power contracts with Liberty Utilities (formerly Empire District Electric). During more than a year of planning and negotiations, the cities of Monett and Mount Vernon formed the Southwest Missouri Public Energy Pool (SWMPEP) and signed a 10-year agreement to purchase their wholesale power supply through MJMEUC.  With a subsequent five-year power supply agreement negotiated, the cities chose the Commission because it provided lower costs, rate stability, and the most efficient energy management services compared to other options.


In order to participate in the negotiated contract with MJMEUC, the cities took separate city government actions to contract with MJMEUC. These actions allowed the cities to act jointly to aggregate their load and get the best bids possible for electric service. Each city retains full local control over its local operations and retail electric rates.


Two other municipal public energy pools purchase their power from the Commission. The Missouri Public Energy Pool (MoPEP) includes 35 municipalities that purchase their full power requirements through the pool. It began operations in 2000. Another group of 13 cities in south-central Missouri are members of the Mid-Missouri Municipal Power Energy Pool (MMMPEP), formed in 2013 to purchase power collectively. Additionally, MJMEUC contracts power to 14 other cities in Missouri and Arkansas from individual power plants.


MJMEUC is the electric generation, transmission, and services arm of the Missouri Public Utility Alliance (MPUA) which provides a broad range of services to almost 120 city utilities covering the entire state including natural gas services, consulting on environmental permits, low cost financing programs, and advocacy with state and federal regulators and legislators.


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