SPRINGFIELD, Mass. (WGGB) — A big jolt of cash for Springfield after the city signs a three year deal to buy electricity from World Energy Solutions.

Friday, Mayor Domenic Sarno and other city officials announced the deal at Van Sickle Middle School.

Last August, the city entered an online energy auction when prices were low. As a result, Springfield is looking to save $2.6 million annually and about $7.5 million over the life of the contract.

Most of the saved money will be pumped into the school district.

“In times where you’re making cuts, you’re going to increase class sizes or cut services to kids to be able to invest this $2 million back in for our kids is huge,” says Springfield Superintendent of Schools Dan Warwick.

Delivery of the electricity from World Energy Solutions under the new contract begins this July.