In March, Elgin voters will be posed with a question of allowing the city to aggregate their electricity – a move officials say could lower their bills by 20 percent.

In electrical aggregation, the city can pick a new electricity provider for residents and small businesses. Because of the large number of customers, and the ability for suppliers to bid on their business, the method is intended to reduced electric bills.

If approved in the March 20 election, the practice would begin next summer, and anyone could opt out of the program and continue to receive their electricity directly from ComEd. Those who opt into the program would still receive a bill from ComEd, and still should call the utility company for outages and other problems.

The unanimous vote Wednesday to put the concept to voters came just after council members approved the 2012 budget, which includes a tax on utilities, including electricity bills, starting July 1. If the electrical aggregation concept passes, the electricity savings will make up for all the new utility taxes and then some, according to City Attorney William Cogley.

A recent state law deregulating the electricity market allows municipalities to pick a new electricity provider for residents and small businesses. The March 20 election will be the second opportunity for municipalities to start the process with a referendum vote.

In the first election, about 25 towns posed the electrical aggregation question, said Colby Basham, utility maintenance supervisor. Of those, 20 passed, and those that didn’t were close votes and didn’t have extensive public information campaigns, he said.

If Elgin voters approve the notion next year, Elgin will be the largest city to aggregate electricity so far, which means a greater savings, Basham added.

There will be two public hearings early next year to inform residents of the aggregation concept. Basham said that’s just part of a public information campaign the city will roll out before the election.