Supporting Local Businesses Through Wholesale Energy Rates
By: Deanna McArthur
The pandemic-related lockdown and ongoing restrictions on how businesses can operate have created numerous challenges for enterprises of all sizes.
Nowhere are those challenges more deeply felt than in small communities. Small businesses, most of which are owner-operated or family-run, have been devastated by the pandemic and resulting social protocols to help flatten the curve.
In Black Diamond, Turner Valley, and the surrounding foothills area, COVID-19 forced businesses to close temporarily. By easing some restrictions, businesses have been able to re-open but often with very different operations. Some cafés now serve take-out only, and limitations have been placed on how many customers can be inside a store or hair salon at any given time. As a result, many local small businesses have suffered a financial shock, and there doesn’t appear to be an end in sight.
To ease the financial stress local businesses are facing during these challenging times, Foothills Energy Co-op (FEC) is implementing a unique solution: temporary wholesale energy rates for Co-op member businesses.
“As a co-operative, we are community-minded and want to help create a resilient community that’s sustainable now and for the future,” said David Bunnell, President of the Co-op.
What does this program mean for businesses that apply for the wholesale rate? Here is a look at some numbers:
If a business is currently signed up on the Regulated Rate Option (RRO) for electricity with EPCOR Energy, in September they would have paid 7.556 ¢/kWh. If that same business had switched to the FEC wholesale variable rate, they would have paid only 4.317 ¢/kWh in September.
The wholesale program would have helped that business save over 42% on the cost of the electricity they consumed!
The numbers for October are also looking promising. The RRO for electricity with EPCOR Energy in October is 6.450 ¢/kWh and the 30-day moving average for FEC’s wholesale variable rate is just 5.11 ¢/kWh. That’s savings of 20% in October.
The wholesale rate offer is open to any business that is a new or existing member of the Co-op. Applicants can be any size and include home-based enterprises, so long as they have a business licence. And although Foothills Energy Co-op is located in the Diamond Valley area, they can market electricity, natural gas and Internet services throughout Alberta. Any current or new business member is eligible. To sign up for the wholesale electricity and/or natural gas rate, please email foothillsenergycoop@gmail.com.
“Foothills Energy Co-op’s innovative idea is a great example of a local organization digging deep into their pockets to help our businesses in its community,” said Nick Clark, Director of Utility Network and Partners Inc. “We commend the co-op on their commitment to helping local businesses survive and thrive.”
Shopping Locally is Important
Launched in 2016, FEC markets electricity, natural gas, and Internet services to the foothills region as part of the UTILITYnet Energy Marketer network, with the express purpose of retaining revenues in its community.
“Because foothills residents have made the decision to purchase their energy from FEC rather than the large incumbent retailers in Alberta, the Co-op has been able to do some great things,” said Clark. “The Co-op offers competitive pricing and ensures the profits are used locally for sustainability initiatives like their recent solar project. It’s a win-win.”
To sign up for electricity, natural gas, and/or Internet service with FEC, click here.
Additionally, FEC has offered to promote Co-op member businesses through its website and Facebook pages.
“We believe in buying local and think that’s the best way residents in the foothills area can make sure small businesses can survive these very difficult times,” said Bunnell.
If you are a small business owner enrolled with FEC and would like to have your business promoted through the Co-op’s website or social media, please email foothillsenergycoop@gmail.com.