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Objectives:
The deregulation of the Natural Gas and Electric Generation industries created unique market opportunities for knowledgeable end users.
The objectives of the PAISENERGY are to explore changing energy options and to employ group purchasing power to secure significant economic advantage for Consortium members in the purchase of Natural Gas and Electric Power. |
Products and Services:
As of Fall 2004, PAISENERGY, and the consulting services of the firm, Provident Energy Consulting, whom we have engaged to manage the procurement process, is limited to the pursuit of Natural Gas and Electric Power opportunities in Pennsylvania.
In addition, Provident Energy can be engaged for energy conservation projects by individual schools at preferred rates for their consulting services. |
History:
This consortium was organized in 1999 to take advantage of deregulation. Initially, we formed an alliance with the Delaware Valley Energy Consortium, an organization formed of Intermediate Unit administrators from Bucks, Montgomery, Delaware, and Chester Counties. Eventually, an alliance with four other organizations from elsewhere in the state enabled us to purchase over 1 billion kWh.
Dwindling competitive options led our member schools to return to PECO in early 2001. In January 2003, after analyzing the Market Forces, the DVEC Board elected to suspend operations in favor of individual contracts for Energy Consulting Services with Provident Energy Consulting of Media, Pennsylvania.
Currently, there are 61 schools in our Energy Consortium 49 of which representing more than 35 million kWh participated in a 20 month fixed price agreement with Select Energy beginning in May 2004.
The affairs of the Consortium are managed and overseen by the PAISPC Steering Committee. |
Achievements:
In the early period of operation, the consortium saved member schools an estimated 20 percent on the cost of electric generation.
The second contract, the comparative savings were slightly less. In the latest effort, we show an estimated savings of 6.1% over the 20-month period. Participating schools receive a quarterly report of actual savings.
With regard to Natural Gas, Provident has provided consulting services to some members and we are in the process of gathering authorization and data for interested members who are serviced by PECO and PGW. This will enable us to act on market opportunities when/if they become available. |
Criteria for Participation:
Membership in PAISBOA. There are no other conditions related to size or utilization. |
Costs and/or Fees:
The application fee (one time) for membership is $100. As new agreements are made through the competitive bidding process, there will be a 1 mil fee to the consulting firm and a modest fee to PAISBOA., the amount to be determined by the PAISPC Steering Committee based on the results and overall participation. |
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For more information about PAISENERGY, please contact:
Al Greenough
610 688 6660 x320
610-971-2154 fax
agreenough@paisboa.org
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