News
PowerOptions Strikes Long-Term Arrangement with Direct Energy to Supply Massachusetts Nonprofits and Public Institutions with Electricity
Boston, October 23rd -- The Massachusetts Health and Educational Facilities Authority (HEFA) today announced that its PowerOptions subsidiary has signed an agreement with retail energy supplier Direct Energy that will offer electricity contracts to nonprofit institutions, cities and towns and other public organizations that are members of HEFA's PowerOptions energy buying program. The potential value of the power that will be sold under the program could exceed $125 million annually.
PowerOptions Executive V.P. Carter Wall says the contract terms are highly competitive in the Massachusetts power market, giving nonprofits and government organizations much more control over their utility bills in a period of high market volatility. "For ten years, PowerOptions has been in the business of giving our member organizations more certainty about their energy costs," Wall said.
PowerOptions member Joseph Collins, Director of Energy Resources at UMass Medical School, agrees: "The PowerOptions program has brought significant savings to Massachusetts' non-profits and public institutions, which in turn helps all of the people we serve."
Direct Energy, which has its headquarters in Stamford, CT, will offer PowerOptions members their choice of contract length and a variety of pricing options. "Direct Energy was chosen after a highly competitive bid process," said Wall. "We were impressed by their competitive pricing, the strong financial position of the company, and their excellent customer service." Under the agreement, Direct Energy may supply electricity to over 500 nonprofit institutions and government organizations. According to Wall, the size of the group may increase because membership in the program is open to all nonprofit, governmental and municipal entities in Massachusetts. The four-year agreement is effective immediately.
The award-winning PowerOptions program is the first, largest, and most successful energy purchasing consortium in Massachusetts. PowerOptions members make up almost 9% of the entire competitive retail market for electricity in Massachusetts, with a combined demand of approximately 250 megawatts. Members range from cities and towns to large hospitals and colleges to small human service agencies and cultural institutions located throughout the Commonwealth. Nonprofit and public institutions may still become PowerOptions members and participate in this collective purchasing effort. For more information, call 617-737-8480 or visit www.poweroptions.org.
Direct Energy is part of the Centrica group of companies, one of the largest multi-state providers of competitive retail energy services in North America. The North American operations have grown to more than 5 million customer relationships. Direct Energy's U.S. headquarters are located in Stamford, Conn. Globally, the Centrica group of companies is a leading provider of energy and other essential services with more than 34 million customer relationships. For more information, visit www.directenergy.com.
