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    Office Of The Mayor

    CITY STRIKES ENERGY DEAL EXPECTED TO SAVE MILLIONS

    (4/25/2008) NEW HAVEN- Mayor John DeStefano Jr. has announced that the City of New Haven and Constellation New Energy (CNE) have entered into a 3.5-year agreement for the supply of retail electric power. The new agreement provides the City with up to 63 million kilowatt-hours of electric power annually during the term of the agreement. The agreement also offers the City an opportunity to lock in fixed prices as market conditions change and lower costs become available.

    “During a tough budget year when utility costs are increasing across the board, we are very pleased to have achieved this cost-cutting agreement,” said Mayor John DeStefano, Jr. “We continue to look for ways to save while always maintaining our commitment to a greener and cleaner New Haven.”

    CNE won the contract as the lowest cost supplier in a competitive pricing and contract negotiation process that has been ongoing since October 2007.

    This June, the City and CNE will end an 18-month retail supply contract that began in January 2007. During the first 12 months of that contract, the City saved nearly a million dollars over the cost of buying power from the local utility provider, United Illuminating.

    The City expects that during the term of the new contract savings over the cost of local utility provided service will be similar to the existing contract on an annual basis. “This contract will enable the City to forecast future energy costs with more certainty. He noted, best of all, it will likely avoid spending millions more for electric power,” said Lawrence Rusconi, New Haven’s Director of Management & Budget.

    In keeping with its commitment to buy up to 20% of its power as Green Power by 2010, within the contract the City has also agreed to buy up to an additional 13% more than the State mandated minimum of Green Power.

    The retail supply contract with CNE is one of a number of components of a Citywide Energy Management Program that DeStefano has championed and that has saved the City more than 30 million dollars.

    [END]



    Contact Name: Jessica Mayorga

    Contact Email: jmayorga@newhavenct.net

    Contact Phone: 203-946-7660


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