Constellation to Supply Electricity to Meet Marriott's Energy Needs under Competitive Supply Program in Arizona
Select large customers could see significant savings off standard utility generation rates
PHOENIX--(BUSINESS WIRE)-- Constellation today announced it will provide electricity supply to meet the energy requirements of hotel leader Marriott as part of a recently implemented competitive supply program allowing select large Arizona commercial customers to have their electricity supply provided by the competitive marketplace.
Constellation's agreement with Marriott is part of a new program established through a recent rate case settlement with Arizona Public Service Company (APS). Under the program, eight large customers in the APS service territory - chosen through a lottery - may select an alternate supplier of electricity in lieu of APS's standard service. Customers participating in the program must have a minimum peak load of 10 MW, and the overall size of the program is capped at 200 MW of peak load.
While savings will vary based on customer usage and contract terms, Marriott expects to save about 10 percent when compared to APS standard service rates. Given the savings potential for Marriott and other eligible customers, available space in the program was fully subscribed earlier this year with several customers put on a waiting list.
"Competition will help some of Arizona's largest public and private sector employers save on electricity costs and that's good news for the state's economy," said Mark Huston, senior vice president and head of retail for Constellation. "The enthusiastic response to this program clearly indicates customers are eager for the benefits of competition and the potential for retail choice in Arizona."
Marriott began taking service under this program on Dec. 1, 2012. To initiate the service, Constellation has executed a trilateral wholesale supply agreement with Marriott and APS, which will be administered by the company's Constellation NewEnergy, Inc. and Constellation Energy Commodities Group, Inc. subsidiaries.
The Constellation family of retail electricity and natural gas suppliers (www.constellation.com), are subsidiaries of Exelon Corp., and are leading competitive retail suppliers of power, natural gas and energy products and services for homes and businesses across the continental United States. Constellation's retail businesses serve more than 100,000 business and public sector customers, including more than two-thirds of the Fortune 100, and nearly one million residential customers.
Exelon Corporation (NYS: EXC) is the nation's leading competitive energy provider, with approximately $33 billion in annual revenues. Headquartered in Chicago, Exelon has operations and business activities in 47 states, the District of Columbia and Canada. Exelon is the largest competitive U.S. power generator, with approximately 35,000 megawatts of owned capacity comprising one of the nation's cleanest and lowest-cost power generation fleets. Exelon's utilities deliver electricity and natural gas to more than 6.6 million customers in central Maryland (BGE), northern Illinois (ComEd) and southeastern Pennsylvania (PECO). Learn more at: www.exeloncorp.com.
Lawrence McDonnell, 410-470-9700
KEYWORDS: United States North America Arizona
The article Constellation to Supply Electricity to Meet Marriott's Energy Needs under Competitive Supply Program in Arizona originally appeared on Fool.com.
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