CHAMPAIGN -- The University of Illinois has a new athletics sponsor, and officials are expecting the new partnership to bring in half a million dollars in the first year for Illini sports.

And it's not a traditional, advertisement-in-the-stadium-type of sponsorship.

The UI Division of Intercollegiate Athletics signed an agreement with a Texas company that will market electricity plans to Illini fans living and working in Illinois. Branded Retail Energy of Dallas launched Fighting Illini Energy and its website, http://www.fightingillinienergy.com, on Tuesday.

"In a deregulated state, people can sign up with who they want to get their electricity. If people sign up now for Fighting Illini Energy, then donations are made back to DIA," said Marty Kaufmann, assistant athletic director who heads up the division's sponsorship office. "It's a pretty novel concept," he added.

In Illinois, where the marketing of electricity was deregulated in 1997, consumers can choose their electric provider. Power companies like Ameren and ComEd continue to maintain the lines and poles; the delivery of electricity to homes and businesses still is regulated by the state.

"I think it's going to be a groundbreaking and novel program for Illinois athletics," Kaufmann said.

The DIA has had a sponsorship program for about 15 years, and typically those sponsorships have come in the form of companies advertising in Memorial Stadium or the Assembly Hall and on the Illinois Sports Radio Network. DIA sponsorships with companies like Carle, Nike and State Farm Insurance, as well as licensing agreements, bring in about $6 million annually for Illinois athletics, according to Kaufmann.

Branded Retail Energy, whose parent company is Gulf States Energy, has partnered with Champion Energy, a retail electric provider also based in Texas. The UI's agreement with them runs through June 2016.

The UI will get at least a six-figure amount per year, with a $500,000 commitment for the first year. The amount the UI will receive is not based on how much energy customers use, but the number of accounts.

"We think it'll be a good new source of funds for DIA," Kaufmann said.

Jason Helms, Branded Retail Energy's chief executive officer, said he first got the idea to brand with universities a little more than two years ago. He initially thought the company would sponsor professional sports teams like the Chicago Bears, but instead decided to focus on university athletics because "everyone has allegiance to their university," he said.

At the Tuesday press conference announcing the agreement, UI football coach Ron Zook posed for photos with Helms. Helms' father, Jim Helms, was an assistant football coach during the Ron Turner years. Justin Helms, Jason's brother and a company co-founder, received his MBA from the UI.

Branded Energy's first sponsorship was with the University of Texas, followed by Texas A&M and Southern Methodist University. The UI is the first Big Ten university to partner with the company, according to Kaufmann.

A spokesman or spokeswoman for Fighting Illini Energy is expected to be announced by the summer, Helms said. Colt McCoy, quarterback for the Cleveland Browns and former player for the University of Texas at Austin, is the spokesman for Texas Longhorn Energy.

Since deregulation of the energy market, most suppliers have been competing for customers in the Chicago-area market, according to Jim Chilsen, spokesman with the Chicago-based Citizens Utility Board, a consumer advocacy group that works throughout the state.

"We've seen a lot of promotions up here in Chicago. One company offers airline miles. Another handed out cupcakes in downtown. But we've never seen a company work with a university at marketing electricity," he said. "It's a very catchy name."

Fighting Illini Energy also is offering some perks for customers, such as special offers on Illini gear and the opportunity to receive game tickets.

"We're officially big fans of the Illini, but as consumer advocates, we tell everybody to read the fine print," Chilsen said.

If you're signing a 12- or 24-month contract, for example, find out what the exit fee would be if you decide to end the agreement before that term ends.

Check the energy rate you're paying to your current provider and compare with the new offer, he said. And because the utility is still handling delivery of electricity, delivery rates are still susceptible to increases, he said.

Elizabeth Chandler, vice president of marketing and communications with Branded Retail Energy, said residential customers in Illinois can choose between 12- and 24-month contracts. A 100 percent renewable energy plan also is available. Rates are posted on the website. Commercial accounts are negotiated with the companies.

Branded Retail Energy has an office in Chicago but plans to open one in Champaign-Urbana, Helms said.