Duke Inks Deal with Two Mitsubishi Plants in IL
Mitsubishi Motors Manufacturing of America (MMMA) announced it
entered into a multi-year agreement with Duke Energy's
DukeSolutions Inc. last week to manage energy service for
Mitsubishi's two-million-square-foot manufacturing plant in Normal,
IL. Over the contract term, DukeSolutions will support up to $30
million of energy expenditures for MMMA.
DukeSolutions will deliver savings through strategies such as
rate negotiations, special contracts, supply management and
comprehensive plant improvements, the company said. In a companion
agreement, DukeSolutions is supplying gas valued at almost $7
million to the Normal site over a multi-year term.
The $10 billion electric utility industry in Illinois will begin
deregulation in October. MMMA said this agreement will help it be
prepared for that transition. MMMA is currently one of Illinois
Power's top 20 customers and said it will switch suppliers if it
finds a better deal. Larry Greene, executive vice president of
procurement and supply for MMMA, said, "Competitive, quality supply
that meets our requirements is the essence of our purchasing
charter, so we naturally welcome the opportunities that
MMMA and DukeSolutions are also looking at major infrastructure
projects to improve productivity and efficiency within the plant.
"Our real contribution is our ability to leverage all parts of the
energy value chain," says Jack Menninger, vice president of
DukeSolutions Midwest region. "Customers see the greatest boost in
financial performance when we integrate supply, efficiency, risk
management and financial products in one unified package."
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