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MPUC Issues RFPs for Long-Term Electricity Contracts

December 3, 2008

MPUC Issues RFPs for Long-Term Electricity Supply or Electricity Demand-Reduction

AUGUSTA, Maine – The Maine Public Utilities Commission announced today that it is seeking long-term contract proposals from qualified resources for capacity and associated energy.

Under legislation enacted in 2006, the Commission is authorized to direct Maine’s Transmission and Delivery utilities to enter into long-term contracts for capacity and energy from projects that can include renewable or non-renewable supply resources, as well as demand-reduction and energy efficiency.

The primary objective of the RFP is to acquire capacity and associated energy to lower electricity costs for Maine consumers and/or to obtain a beneficial hedge against shorter-term price volatility.

“The Commission is committed to reducing capacity costs for Maine’s electricity consumers to help hold the line on Mainers’ bills,” said Sharon M. Reishus, who chairs the Commission. “Long-term contracts are one of several tools that will help us reach that goal.”

Proposals may provide benefits in one or more of the following forms:

  • lower electricity supply costs for Maine consumers;
  • hedge against market prices of electricity;
  • offset costs resulting from new transmission; or
  • provide a lower-cost alternative to new transmission investment.

Successful proposals must meet Maine’s goals and policies for the reduction of greenhouse gas emissions. The Commission will also evaluate proposals for environmental and reliability objectives.

Bidders selected will enter into long-term contractual arrangements with one or more of Maine’s investor-owned transmission and distribution utilities, Central Maine Power Company, Bangor Hydro-Electric Company, and Maine Public Service Company (collectively the T&D utilities). Information about the T&D utilities and their respective service areas is provided at:

http://www.maine.gov/mpuc/electricity/transanddist.html

The RFP and all related documents and information are available from the Commission’s RFP Website at http://www.maine.gov/mpuc/electricity/rfps/standardoffer/longtermcontractsrfp/RFPLTBid_1108.html

The bidder registration deadline is January 7th, 2009. Initial proposals must be submitted by April 7th, 2009.

The RFP Contact Person is:

Faith Huntington
Director of Technical Analysis
Maine Public Utilities Commission
Faith.Huntington@maine.gov

All inquiries about the RFP should be directed to the RFP Contact Person at the above email address. In the event the RFP Contact Person cannot be reached via email, inquiries may be directed to the RFP Contact Person via the fax and/or phone numbers provided below:

207-287-1373 (Tel)
207-287-1039 (Fax)

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 Reishus, Commissioner Vendean Vafiades or Commissioner Jack Cashman, please contact Fred Bever at 207.287.6141 or by e-mail at fred.bever@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.

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For media inquiries, contact Fred Bever at Fred.Bever@maine.gov or at (207) 287-6141. Maine Public Utilities Commission 242 State Street Augusta, Maine 04333-0018 Website: http://www.maine.gov/mpuc/, Email: maine.puc@maine.gov CONTACT: Fred Bever, 207-287-6141, Fred.Bever@maine.gov