The Village of Burr Ridge is exploring the possibility of holding a referendum to allow residents to decide if the village should buy electricity from a different supplier than ComEd.

A change to the Illinois Power Agency Act last year allows municipalities in the state to join together to purchase electricity for residential and small commercial customers. Village Manager Steve Stricker explained the process, known as electrical aggregation, to trustees at the Oct. 24 village board meeting.

“In January 2010, the General Assembly authorized municipalities to adopt either ‘opt-out’ or ‘opt-in’ electric aggregation programs,” Stricker said.

In an opt-out program, Stricker said, residents and small businesses agree to participate in the municipally-sponsored program to purchase electricity.

“ComEd does not make a profit on the sale of electricity,” Stricker noted. “They don’t care where you buy your electricity, whether you buy it from them or whether you buy it from any other vendor. They’re a wires company.”

If voters approved an opt-out program to get electricity from a different supplier, ComEd still would be responsible for power outage and service issues, Stricker said.

“They will still send the consumers their monthly bills,” he added.

That’s because electrical supply is just one component of the ComEd service bill.

Stricker said just under two dozen Illinois municipalities already have started electrical aggregation programs,

“They are saving anywhere from 10 to 30 percent,” on electrical supply, Stricker said.

Even if the village creates an opt-out program, residents can elect to choose a vendor other than the one the village selects. One option is the Metropolitan Mayors Caucus Energy Savings Program, which guarantees savings of 18 percent through June 2013 on the electrical supply charge.

Stricker said creating an opt-in program would also create costs for the village, most notably village staff time.

The board is expected to discuss the topic again at its next board meeting. If the board decides to proceed with an opt-out program, it could approve an ordinance at its Nov. 28 meeting authorizing the referendum to be voted on during the March 20, 2012 primary election.