The Gardiner town board is contemplating a proposed local law which would launch a community choice aggregation program.

Town board member Franco Carucci introduced the proposal. Under the program, one energy supplier would be selected as the default supplier for all eligible residents in the town, replacing the current Central Hudson utility. Residents would be notified of the change and may opt out of the program at any time at no cost to them.

Eligible consumers are all consumers, residential and non-residential, who reside within municipal limits.

Community choice aggregation usually lowers energy costs and provides fixed rates for consumers through aggregation of purchasing power. The program also provides renewable and clean energy for consumers.

Carucci estimates the proposal would save each resident between $40 and $50 per year.

The town would pick an energy administrator who will approach energy companies and bid for contracts and rates. There are two administrators in Gardiner: Good Energy and Joule Community Power.

“They’re essentially a power broker that provides you with the energy,” town board member David Dukler said.

Cities, towns and villages may join together to increase market clout and drive down process even further. Depending on who the administrator is, municipalities may enter into either intermunicipal agreements or memorandums of understanding with other municipalities to participate in the program.

Carucci said most contracts with locked in rates are for two years, after which the administrator could negotiate another contract.

One of the largest aggregates in New York is Westchester Power. Accounting for more than 100,000 electric customers and 40 percent of the population, 27 municipalities have joined the aggregate, according to West Chester Power’s website.