HOUSTON, Texas, Aug. 2, 2001 — Automated Power Exchangeâ„- Inc. (APX®), a provider of online market services for the power industry, today announced that it has launched the APX Qualified Scheduling Entity (QSE) Service and the APX ERCOT Market in the Electric Reliability Council of Texas’s (ERCOT’s) new single control area, which opened Tuesday.
The APX QSE Service and APX ERCOT Market, with an initial total of nine power industry customers, are the only independent services of their type in the ERCOT independent system operator (ISO) control area. APX maintains independence by not participating in the market and never uses the information of its clients to compete with them in buying or selling power.
“Our neutrality assures power marketers, independent generators, retail providers, and municipal and cooperative power companies that our only goal is to provide them with first-rate services,” said Rosalie Day, APX director, ERCOT and Southeast. “Our services give generators control over their assets and schedule submissions, retail providers ease of use, and municipal and cooperative power companies a smoother transition to the new ERCOT control area.”
APX systems were used to schedule more than 85,000 megawatt hours Monday. Initial APX QSE service clients include: British Petroleum Energy Company, El Paso Merchant Energy, Encogen One Partners Ltd., Sempra Energy Sales LLC, and other generation customers, who have selected APX as their registered QSE; and Aquila Energy Marketing Corp., which has retained APX, under an application service provider (ASP) agreement, to provide the computer systems Aquila uses to perform as a QSE.
Through the APX QSE Service, APX daily submits electric power schedules electronically to ERCOT that detail the amount of power that APX clients will deliver to and use from the transmission grid. The APX service includes a mechanism for balancing the schedules of its clients, which helps reduce ERCOT imbalance penalties and costly imbalance energy purchases required at times to keep the transmission grid functioning reliably.
Initial APX ERCOT Market clients include British Petroleum Energy Company, El Paso Merchant Energy, Enron Energy Services Inc., Mirant Americas Energy Marketing LP, Reliant Energy Services Inc., and Tractebel Energy Marketing Inc., who have signed up to trade energy. Wholesale market participants transact online to buy and sell electric power for physical delivery. Firm energy products in all three zones of the ERCOT control area may be traded.
Said John Yurkanin, APX president and CEO, “APX is pleased to be providing scheduling and trading services to major industry players in one of the most sophisticated energy marketplaces in the world. In addition to neutrality, we are bringing our expertise and technology from other regions we serve in North America and Europe to meet the needs of Texas.”
APX clients will not need to make any significant changes to their operations because APX will continually upgrade its application software to keep pace with ERCOT system changes as the ERCOT control area and trans-ERCOT retail market grow to full size by 2002. The APX services, which are operated from Houston and Silicon Valley, are available around the clock — 24 hours a day, seven days a week.
APX provides the market and scheduling technologies needed to support power system administration and operates Internet-based markets, voice brokerages, and clearinghouses for the buying and selling of electric power. A privately held company, APX has its world headquarters in Santa Clara, Calif., Southeast U.S. office in Houston, and European headquarters in London. More information is available at www.apx.com.