Supply and Demand Side Companies Merge
The supply-side energy marketer Strategic Energy Ltd. (SEL) and
the demand-side management company Custom Energy LLC (Custom
Energy) announced a merger last week designed to help customers
lower energy use and cost.
Each will maintain their separate identities with Custom Energy
serving as the parent company, but their service will change
dramatically, according to Richard Zomnir, president of SEL,
"Through our alliance with Custom Energy, we can help ensure
companies use less energy and pay less for it -- a complete energy
management solution." Terms of the agreement were not disclosed,
and no staffing changes are expected.
The major force behind the consumer demand for the merger,
according to Zomnir, is energy deregulation. "Today's smart
consumers already are cutting costs through curbing energy use, but
electricity deregulation adds even greater opportunities for
Greg Orman, Custom Energy's CEO, shares Zomnir's views.
"Customers can now turn to Custom and SEL to proactively manage
energy costs from start to finish." Custom Energy, based in Kansas
City, has been a purely demand side management company for more
than 20 years. It designs and installs energy efficient building
systems, operations and maintenance programs, and back-up power
systems for commercial and industrial customers. "Our partnership
with SEL fills a valuable niche in our services, positioning us to
provide complete solutions for our clients long-term needs."
SEL has specialized in marketing to commercial and industrial
energy consumers. Sources close to the merger cited similar
corporate cultures, a results-oriented outlook, objectivity, and
strong national base as reasons for the merger. No timetable was
given for the merger's completion.
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