Reliant Energy, formerly Houston Industries, has purchased theretail gas marketing assets of Commonwealth Energy Systemsubsidiary COM/Energy Marketing for an undisclosed sum. The assetsprimarily are made up of contracts with more than 2,000 energycustomers in Massachusetts, Rhode Island and Connecticut, twooffices in Massachusetts and a 10-person marketing team.

“We’ve been active in this region for about two years now andthis was an opportunity to expand with a company that had acomplementary fit,” said Steve Husband, vice president for ReliantEnergy Retail Marketing. “In terms of market share, this increases[our commercial portfolio] about five times. If we’re talking abouttotal market share, it increases it by about 10%.”

Reliant Energy Retail Marketing President Richard Guha said thedeal “offers us an experienced marketing and operations team aswell as the opportunity to further strengthen our position inMassachusetts, Rhode Island and Connecticut.”

For Commonwealth Energy, the sale marks a turning point incorporate strategy. “The sale of the assets of our energy marketingcompany allows us to further concentrate our efforts on our corebusiness: the delivery and distribution of electricity, naturalgas, chilled water and steam,” said CEO Russell D. Wright. “We,like other utilities in New England, have found that marketingenergy in the emerging unregulated arena requires the market powerof a national or international company like Reliant Energy to makeit a real success.” Commonwealth Energy is a $1 billion holdingcompany based in Cambridge, MA. Its subsidiary companies,Commonwealth Electric, Cambridge Electric, Commonwealth Gas,COM/Energy Steam, and Advanced Energy Systems serve 620,000customers in eastern Massachusetts.

Reliant Energy, based in Houston, is an international energyservices firm with $11.5 billion in annual revenue and assetstotaling more than $19 billion.

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