Illinois Municipal Electric Agency (IMEA)
On June 1, 2011, the City of Naperville began purchasing electric power for its municipal Electric Utility with the Illinois Municipal Electric Agency (IMEA), a not-for-profit joint action agency comprised of 32 municipal electric systems that work together to provide power supply and other related utility services for themselves. Membership in the IMEA will enable the City's electric customers to reap the benefits of ownership in electrical generation facilities that provide a greater chance of rate stabilization to 2035 and beyond.
About the IMEA
The City of Naperville entered into a contract with the Illinois Municipal Electric Agency (IMEA), a not-for-profit organization, in 2007 to supply the City with energy and services through September 30, 2035. The IMEA was formed in 1984 and provides energy and services to 32 municipalities throughout the State of Illinois. The City's goal of this long-term procurement was to provide stable energy prices to the City of Naperville.
Upon signing the contract with the IMEA, the City required IMEA to participate in Prairie State Energy Campus as the IMEA did not have enough capacity and energy to serve the households and businesses of Naperville. During the period between contract signing and 2011, when Prairie State came online, the City procured energy from Goldman Sachs. During this period IMEA was providing services to the City for compliance related items as well as advising the City on legal, regulatory and other administrative tasks as they do today.
Over the past 17 years, IMEA has provided stable energy pricing to the City while terminating coal-based energy contracts. The IMEA has increased deployment of solar arrays in member communities, including a 1 megawatt (MW) array installed at our Springbrook Water Reclamation Plant. The IMEA maintains a fractional ownership of Prairie State and Trimble County thermal energy plants to cover the base load energy requirements of its member communities.
Environmental Sustainability
In 2023, the IMEA board of directors passed its sustainability plan outlining the agency's path to carbon neutral energy by 2050. The plan provides a framework whereby IMEA staff will produce annual reports, present them to the board of directors, and hold member stakeholder meetings every three years seeking input on the path forward. The plan outlines goals for battery storage projects as well as increasing renewable energy procurement.
Contract Extension
With just over 10 years left on the existing IMEA contract and the requirement to provide IMEA notice in 2030 of intent to renew or withdraw, the City must be planning for 2035.
IMEA has presented all of its members with a contract extension offer and this offer has been shared with NEST and CLEAN. The agency needs to know which of its members will remain in IMEA in 10 years in order to plan energy needs and transition from carbon emitting resources. The offer includes an option for the City to procure renewable energy outside of the agency. The City would be responsible for procurement of this energy and all risks associated with projects and contracts associated. The City has until April 30, 2025 to accept or decline this offer. City Council has not made any final decisions or taken any final action on this issue.
As the City determines how it will procure energy and the necessary services beyond 2035, the Naperville City Council and Public Utility Advisory Board will be engaged in the process and all standard procurement policies and procedures will be in place with the public's ability to provide comment at public meetings.