St. Charles officials, residents continue energy provider discussion

St. Charles City Council chambers were filled Monday evening with residents eager to hear more about the city’s future energy plans and voice their concerns over a coal-reliant future.

Committee members, staff and residents continued discussions about the city’s future energy sourcing during the March 24 Government Services Committee meeting.

The city gets its energy from Illinois Municipal Electric Agency, a coal-reliant nonprofit power supply agency that provides electric energy to 32 municipalities in Illinois.

IMEA owns a 15% share of Prairie State power plant in southern Illinois that is the largest emitter of CO2 in the state and is among the top 10 largest CO2 emitters in the U.S., according to a 2019 study by the Environmental Protection Agency.

St. Charles has been sourcing its power from IMEA since 2004 and is under a power sales contract with the energy provider until Sept. 30, 2035.

While the city has more than 10 years left on the current contract, IMEA is urging St. Charles and other Illinois municipalities, including Naperville, to enter a new agreement that will extend through May 2055.

IMEA has asked municipalities to make a final decision by April 30, when the current offer will expire.

Residents of both St. Charles and Naperville have been strongly opposed to continuing to source energy from IMEA, and several council members have expressed their own reservations, citing concerns over sustainability, coal reliance and unclear plans for future clean energy production.

Several residents raised the same concerns during last week’s City Council meeting. In addition to frequent concerns raised during public meetings, nearly 600 people have signed a “Tell Saint Charles to Say No to Fossil Fuels” petition created by St. Charles resident Martha Gass.

At the March 24 meeting, committee members got through the first 17 agenda items in about 20 minutes, and spent the next two hours discussing IMEA, where they heard from city staff and nearly a dozen residents from both St. Charles and Naperville.

St. Charles Public Works Director and IMEA representative Peter Suhr introduced the discussion, provided background on the energy provider and city’s relationship with IMEA, and addressed and corrected recent claims made by residents.

Suhr said St. Charles pays IMEA about $40 million annually, which has been a stable rate for the past decade. He said a predictable long-term contract like the one IMEA is offering is a better option than the unknowns of an open market and short-term contracts, which he warned could cost the city much more than energy from IMEA.

“In a nutshell, St. Charles is getting a pretty good deal for all of the expertise we receive from our partners at IMEA,” Suhr said. “Whether St. Charles is affiliated with IMEA or not from 2035 to 2055, St. Charles will be spending at least $800 million on our power and transmission needs over that time.”

Suhr said IMEA’s goal is to be 100% carbon free by 2055, but whether the state of Illinois and the country will be ready by then is a different discussion.

Naperville hired Pennsylvania-based consultant Customized Energy Solutions to review the city’s alternative options, and a report is expected to be made public in the coming weeks.

Suhr said staff will review the report from CES, and several council members and residents remarked that they were eager to review its findings.

After the introduction, committee members engaged in Q&A with Suhr and held their own discussion before opening the discussion to public comment, where 11 people spoke, including residents, local students and community members from Naperville.

Suhr told committee members that at least 25 of the other 31 municipalities that IMEA serves have already signed up for another 20 years. He said if St. Charles doesn’t commit to IMEA, staff would begin exploring other options very quickly.

Committee members had several questions for Suhr about the terms of the proposed contract, and almost every member said they needed to learn more about their alternative options before supporting a new contract with IMEA.

Committee member and alderperson Paul Lencioni said while nobody wants their energy to come from coal, getting 100% renewable energy doesn’t seem to be possible. He added that he wouldn’t be signing anything until more information about the city’s other options is available.

“I think there’s nobody in this room who wants to buy energy that comes from coal,” Lencioni said. “However, that’s not realistic right now.”

Many of those who spoke during last week’s meeting also spoke at the March 24 meeting as well as three residents from Naperville, who offered support and advice to the committee members and residents.

Residents continued to voice skepticism of IMEA’s sustainability goals, and several felt that the deadline was too soon and not enough information was available to make a decision.

Several residents of both St. Charles and Naperville suggested intergovernmental collaboration between the two cities could yield a better result for both parties.

Co-chair of the Naperville Environment and Sustaiability Task Force Ted Bourlard said, based on his discussions with elected officials, that Naperville will not be making a commitment to IMEA in April.

Suhr said there will be multiple public information sessions scheduled in the coming month, before the city has to make a decision.