Aug. 17, 2001 — FirstEnergy Corp. reported today that electricity customers of its subsidiaries took advantage of rising wholesale electricity prices last week and reduced electricity usage in exchange for credits on their bill through FirstEnergy’s voluntary Power Curtailment Program.
Under the program, commercial and industrial customers who agree to reduce their electricity demand by at least one megawatt receive a percentage of wholesale electricity prices.
The program is administered through Automated Power Exchange (APX), a provider of online market services for the power industry headquartered in Santa Clara, California.
Last week, when FirstEnergy set system demand records on consecutive days, customers in the program sold back as much as 56 megawatts of electricity — enough power for approximately 22,000 homes during peak demand.
“This is a win-win situation for customers who participate and for us,” said Art Garfield, senior vice president of FirstEnergy Corp. “The APX Internet site gives industrial customers real-time information they can use to balance their power costs with production costs and calculate financial returns from reducing their demand for electricity.”
APX CEO John Yurkanin said he is pleased with his company’s partnership with FirstEnergy subsidiaries, adding that the program has significant potential for the competitive energy market. “This is an important step in demonstrating the power of a market-based demand-side management program that can moderate price spikes, reduce the need for new power plants and save money for electricity customers,” Yurkanin said.
FirstEnergy Corp. is a diversified energy services holding company headquartered in Akron, Ohio. Its electric utility operating companies — Ohio Edison, The Illuminating Company, Toledo Edison and Pennsylvania Power — comprise the nation’s tenth largest investor-owned electric system, serving 2.2 million customers in northern and central Ohio and part of western Pennsylvania. More information is available at www.firstenergycorp.com .
Automated Power Exchange 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, California, Southeast U.S. office in Houston, and European headquarters in London. More information is available at www.apx.com .