HOUSTON, May 3, 2005 (BUSINESS WIRE) — Lower electricity costs and faster pricing are now an option for Texas’ 73,000 small businesses that consume more than $4 billion annually in electricity, thanks to an IT-based solution introduced by SUEZ Energy Resources NA, Inc. (formerly Tractebel Energy Services, Inc.).
SUEZ Energy Resources NA, based in Houston, is the U.S. retail energy business of SUEZ Energy International. The company developed the new processing system to lower the costs of serving this market and ultimately bring price stability, potential savings and better service to small commercial and industrial businesses.
SUEZ is an international industrial and services group which employs 160,700 people worldwide and achieved revenues of EUR 40.7 billion in 2004.
Until now, it was a challenge for energy suppliers to cost-effectively provide lower pricing to this market, which is fundamentally different from larger energy users in that they use between 50 KW and 1 MW annually with monthly electricity bills of anywhere between $7,000 and $25,000. Historically, accurate pricing for these smaller energy users would require 12 months of data directly from the customer’s utility. This process for obtaining the data could be too long and expensive for competing energy companies, forcing many to ignore small business customers.
By integrating several existing applications, SUEZ Energy Resources NA has developed a one-step system that links front-, mid- and back-office functions to deliver faster pricing to customers. With the one-step process, the company is able to use a limited range of usage data to estimate the remaining load. The net result is reduced internal operating costs, which translates into lower energy costs for this market.
“This new ‘low touch’ solution produces pricing proposals in a matter of minutes, compared to as many as several business days when using traditional processes,” said JD Burrows, Vice President of Marketing. “Potential savings of 10 to 35 percent (depending on location) are now possible for these smaller energy users, and it opens up a whole new market for us.”
Burrows added, “We’re creating pricing proposals that are developed around the small business application. We’ve taken the lead, and the ultimate result will be price stability, fast and easy pricing, and potential savings not just for small businesses in Texas, but for companies in other parts of the country as well. The solution is scalable to other geographic markets, or even to larger customers.”
Built internally by a team of SUEZ Energy Resources NA experts, the new system is able to handle 500 pricing requests per day. According to a recent study commissioned by the company, market volatility is a continuing concern among Texas commercial and industrial business decision makers. “In a volatile market, these businesses are looking for better solutions to help control their energy costs, and now we can offer the smaller Texas businesses similar opportunities to save money as we do the larger energy users,” said Burrows.
To learn more about controlling your energy costs or for general information about SUEZ Energy Resources and its services, visit www.suezenergyresources.com.
About SUEZ Energy North America, Inc. [ www.suezenergyna.com ]
Based in Houston, SUEZ Energy Resources NA, Inc. (formerly named Tractebel Energy Services, Inc.) is a wholly owned subsidiary of SUEZ Energy North America, Inc. SUEZ Energy North America is responsible for managing SUEZ’s positions within the energy value chain in the U.S., Mexico and Canada, including electricity generation and cogeneration, natural gas and liquefied natural gas (LNG), asset-based trading and origination, and retail energy sales and related services to Commercial and Industrial customers.
SUEZ Energy North America owns and/or operates a total of 44 power, cogeneration, steam, and chilled-water facilities, including those in construction or development, representing a capacity of more than 5,558 MW of electricity generation, 9 million pounds per hour of steam, and 101,000 tons per hour of chilled water. SUEZ Energy North America’s wholly owned subsidiary, Distrigas of Massachusetts, owns and operates a liquefied natural gas receiving terminal in Everett, Massachusetts, which commenced operations in 1971 and currently serves most of the gas utilities in New England and key power producers, meeting approximately 20 percent of New England’s annual gas demand.
In Mexico, SUEZ Energy North America affiliates operate three natural gas distribution companies as well as cogeneration plants in Tampico and Monterrey, which produce 280 MW of power.