Maine Public Utilities Commission

NEWS RELEASE

Maine Public Utilities Commission
242 State Street
Augusta, Maine 04333-0018
Website: http://www.maine.gov/mpuc/, Email: maine.puc@maine.gov
CONTACT: Nicole Clegg, 207-287-8519, 207-310-0123 (cell) Nicole.Clegg@maine.gov

FOR IMMEDIATE RELEASE
September 20, 2006

PUC Seeks Proposals for Energy Efficiency for Standard Offer Customers

First in the nation competitive solicitation combining electricity and conservation for residential standard offer customers

AUGUSTA, MAINE – Today, the Maine Public Utilities Commission (PUC) announced that it will be seeking bundled demand and supply proposals for standard offer service for residential and small commercial customers of Maine’s two largest electric utilities, Central Maine Power (CMP) and Bangor Hydro-Electric (BHE) Companies. The PUC plans to issue the formal Request for Proposals in October for service beginning March 1, 2007. The proposal will invite electricity suppliers to partner with Energy Service Companies (ESCOs) and submit a bid that includes savings generated by the ESCO for promoting energy efficiency -- the first of its kind in the country. ESCOs are businesses that develop, install and finance cost effective measures to achieve energy savings such as promoting high efficiency lighting, heating and air conditioning. The PUC encourages Maine-based ESCOs to participate.

“We are creating a new market opportunity for energy efficiency -- this could result in real, sustainable energy savings for Maine,” stated Kurt Adams, Chairman of the PUC. “While Maine may be the first state to include energy efficiency in this type of bid process, other states have linked energy efficiency with the standard offer service with great success. Texas was able to offset 10% of its growth in energy demands by employing straightforward efficiency measures.” Other states that incorporate energy efficiency in the standard offer are California, Connecticut, Hawaii, Illinois, Nevada and Pennsylvania.

Standard offer service is the only type of default service in Maine and is provided directly by standard offer providers to customers at retail. The PUC is responsible for insuring that the Commission solicits suppliers to provide standard offer service through a competitive bid process.

The RFP, available next month, will provide detailed information about the proposal requirements and identify factors relevant to the bid evaluation. For more information about standard offer service, visit www.maine.gov/mpuc.

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The Public Utilities Commission is committed to ensuring that consumers have access to safe and reliable service for public utilities and that the rates for these utilities are just and reasonable. PUC programs include Maine Enhanced 911 Service, Dig Safe, and Efficiency Maine.

To arrange an interview with Chairman Adams or Commissioner Reishus, please contact Nicole Clegg at 207.287.8519 or by e-mail at nicole.clegg@maine.gov. The Commission’s website, www.maine.gov/mpuc, may be accessed through the Maine School and Library Network at all public libraries in Maine.