Russell Township Trustees last week approved a motion to renew the natural gas agreement for three years. The current contract expires in September, but trustees said the township recently received a quote that could save the township money.
The deal was made with Advantage Energy Partners and would lower gas prices for the next few years.
“We thought we had a pretty good deal the last two years,” Trustee Jim Mueller said. “We decided that the price of natural gas was probably going to be going up, so we decided to lock it in at $2.99 at MCF.” Mr. Mueller said.
For the last two years the MCF for Russell was $3.28 but with this current deal bringing the MCF to $2.99 the township could see a minimum of a 10-percent reduction in costs, Mr. Mueller said.
“Personally, if I could hold it for three years, I’d go three years,” Trustee Gary Gabram said. Prices are quoted on a 48-hour basis so trustees had to act fast.
The deal with Advantage Energy Partners was confirmed by Fiscal Officer Karen Walder and will run from Oct. 1 to Sept. 30, 2024.
“If the expectation is that prices are going to go up, locking in a rate reduces the variability for the township.” Mrs. Walder said.
The next board of trustees meeting will take place at Russell town hall on March 3.