MOREAU — A consortium of northern Saratoga County municipalities is negotiating to save money on electricity.
Moreau approved a power purchase agreement Tuesday night. Also voting on it are Schuylerville, Victory and the town of Saratoga.
“If any of the municipalities in the consortium do not approve it, none of them can do it,” said Moreau Supervisor Todd Kusnierz.
The Schuylerville Village Board might not jump on the offer, but other proposals are also being considered.
The power of numbers is helping the four small municipalities get a better deal.
The first proposal is from Constellation NewEnergy. It would sell electricity to the group at 0.056 dollars per kilowatt hour for the next two years.
That’s almost definitely a deal for Moreau, Kusnierz said.
Only once in the last 10 years did Moreau pay less than five cents per kilowatt hour, Kusnierz said. One summer, the town got a rate of 4 cents per kilowatt hour.
Usually, the summer rate is 5 to 8 cents, while the winter rate is 18 to 22 cents, he said.
“I’m not a fan of power purchase agreements. I’ve voted against them in the past. But this is the first time there’s a guaranteed savings,” he said, adding that he thought the rate of 0.056 would be hard to beat.
“It’s been my experience the cost of energy does not go down,” he said.
Other board members had no hesitation.
“I think it’s a good idea,” said board member Kyle Noonan. “It’s saving money. It’s great.”
Kusnierz estimated that Moreau would save 15 percent on its electricity costs over the course of the contract, if it is approved by the entire consortium.
Schuylerville board members weren’t as sure of the proposal.
“We were impressed by the presentation,” said Mayor Dan Carpenter. “However, Trustee Jason Young is looking into other vendors to get other prices. I doubt in a day and a half time he’s able to get quotes. It may be something we push out to our August meeting.”
That could kill the deal, because Constellation said it needed a decision this week. But board members are still hopeful the consortium will be able to negotiate a lower power bill at some point this year.