Chuck Heiper, chief executive officer of NOPEC, told the Norwalk City Council on April 15 that a recent PJM interconnection capacity auction raised the base price for future capacity about 800%, a spike that NOPEC expects will push typical electric bills up roughly 15 to 20 percent.

Heiper said the rise follows a pause in auctions during the pandemic and other regulatory disputes, and that the grid operator PJM — which coordinates power across 13 states including Ohio — ran an auction last fall that set the new higher base price. “The base price for future capacity went up 800%,” Heiper said. “We think that’s likely to occur for the next 2 or 3 years.” He added: “The news is not good. We’re all gonna pay a little more.”

The presentation included context about what “capacity” means — the grid’s ability to meet peak demand — and NOPEC recommended steps local officials and residents can take to limit exposure. Heiper said PJM and federal regulators have taken actions intended to stabilize future cycles, and he noted a resignation at PJM’s top level and litigation filed by several states seeking refunds tied to the auction results. Heiper said NOPEC has discussed joining litigation with Ohio’s attorney general.

NOPEC representatives also discussed consumer-facing outreach. Council members said some residents had received opt‑out mailings for natural gas aggregation. Heiper said mailings began the prior Monday by meter-read cycle and that NOPEC would report opt‑out rates to the city once data are compiled. “About 72 to 80% of people in the community tend to stay now,” Heiper said of natural gas aggregation retention rates across NOPEC communities; he said he could provide exact numbers in eight to nine weeks.

Kyla (Kyla Presto), NOPEC relationship manager for the area, and Heiper answered council questions about the role of data centers and large customers in demand forecasting; Heiper said data centers can materially increase local demand and that the state legislature is considering bills that could change how such customers are served. Heiper opposed placing long‑term grid assets on the rate base for all customers and said NOPEC would advocate against passing those costs to regular customers.

Why it matters: Norwalk electricity and natural gas aggregation are arranged through regional procurement and local opt‑out rules. A sustained increase in capacity costs across PJM would raise municipal residents’ utility bills and could have budget implications for municipal accounts that pay energy costs.

Council response and next steps: Council members asked for follow-up data on opt‑out rates for both gas and electric aggregation; Heiper said NOPEC will provide those figures and additional materials for the city’s website. NOPEC also gave the council a community one‑page summary listing local grant balances and participation numbers.

Documentation: NOPEC left a printed community summary and a handout titled “Why Ohio’s electric rates are rising” for the council. NOPEC said it will provide opt‑out and participation figures to the mayor and council in the coming weeks.