Elgin is one of 10 municipalities participating in ComEd’s Community Energy Challenge (CEC), a program designed to generate creative, locally-driven approaches to help communities meet their environmental sustainability objectives. For its efforts to develop a grassroots education plan regarding the capabilities of smart meter technology, the town has been chosen from among the CEC communities to receive 10,000 meters as part of ComEd’s one-year AMI pilot, subject to Illinois Commerce Commission approval.

“Smart meters are a building block of a Smart Grid system. By providing much better information about electricity, they will enable residents to make decisions about energy usage to improve energy efficiency, cut greenhouse gas emissions and reduce energy bills,” said Val R. Jensen, vice president, marketing and environmental programs, ComEd. “Elgin is in the vanguard of Smart Grid technology implementation in northern Illinois. We will work closely with the town to analyze their findings to help create a model for communities across the country to follow for future Smart Grid implementation projects.”

Elgin’s plan for a customer-focused, community education approach will help ensure ComEd residential and business customers understand the new smart meter technology and ultimately realize energy savings through access to new tools and information. The town’s winning recommendation, which includes customer satisfaction and user feedback surveys, will help ComEd examine how customers respond to and use the technology.

“ComEd’s smart meters will provide our neighborhood groups and businesses with the ability to save money and energy at a grassroots level,” said Ed Schock, Elgin mayor. “These are the types of tools and programs that are necessary as Elgin moves forward in becoming an environmentally-efficient community.”

ComEd, along with the Illinois Department of Commerce and Economic Opportunity (DCEO), also announced a decision to increase from $2 million to $3.65 million an energy efficiency reserve that will be allocated over the next year for the 10 participating CEC municipalities. The funds will enable the communities to implement projects that deliver cost-effective and verifiable energy efficiency savings in both the private and public sector.

The CEC recommended plans were evaluated on their potential to meet energy and sustainability requirements, including reducing municipal building energy consumption; reducing community energy consumption; addressing community education surrounding energy efficiency and sustainability; meeting regulatory cost effectiveness requirements; and leveraging resources to meet a sustainability objective.

The review panel included representatives from: ComEd, DCEO, the Illinois Clean Energy Community Foundation, the Metropolitan Mayors Caucus (MMC), the Midwest Energy Efficiency Alliance, the Natural Resources Defense Council and the University of Illinois at Chicago Energy Resources Center.

While Elgin’s plan provided the strategy for smart meter implementation, Schaumburg was identified as the front-runner in the competition by submitting the plan overall.

In addition to Schaumburg and Elgin, the following CEC communities will be implementing their plans from June 1, 2009 to May 31, 2010: Aurora, Carol Stream, Evanston, Highland Park, Hoffman Estates, Oak Park, Orland Park and Wilmette. Every municipality in the CEC will be allocated incentive funding to increase electric energy efficiency in homes, businesses and public buildings in the participating communities. After the community projects are implemented in the 2010, the communities will be evaluated on how well the plans were implemented. Based on energy reduction per capita, one community will receive $100,000. All 10 communities are eligible to win the cash prize.

ComEd, DCEO and MMC engaged these communities to develop the plans and are providing additional technical assistance throughout the program.

Following an about six-month approval docket, the ICC will make a final decision regarding implementation and timing of the AMI pilot. Although rollout plans still are under development, new meter installation could begin in November 2009, once approved. ComEd’s goal is to deploy smart meters throughout the company’s service territory as part of a full Smart Grid system.

The Community Energy Challenge is part of ComEd’s Smart Ideas portfolio of energy efficiency programs and supports Exelon 2020, a comprehensive strategy announced earlier 2009 by Exelon, to reduce, offset or displace more than 15 million metric tons of greenhouse gas emitted by its family of companies and customers.