California State University (CSU) and the University ofCalifornia (UC) signed up with Enron Energy Services (EES) forpower to serve all 22 CSI campuses and all nine UC campuses andother facilities. The deal is the largest direct-access electricenergy contract in the country, Enron said. The two institutionsare projected to save more than $15 million over the next fouryears.

The four-year agreement among UC, CSU and Enron, worth anestimated $300-500 million in electricity sales, takes effect March31 and will result in estimated savings of $1.5 million per yearfor CSU and $2.4 million per year for UC. Enron will also work withthe universities to realize more savings by reducing consumptionthrough a package of energy services.

“By working together the UC and CSU have been able to leverageour size to obtain the maximum pricing advantage,” said RichardWest, CSU senior vice chancellor for business and finance.

All eligible UC and CSU campuses will receive commodity savingsbenefits. Additional services such as account preparation,commodity and customer services and billing will also be included.Enron will begin to install its Interactive Metering Solution – theonly nation-wide wireless metering system – at campus facilities inMarch. Enron also will provide the university systems withstrategic energy savings plans for each site and will conductannual workshops dedicated to energy services.

The collaboration between the UC and CSU began in fall 1996 withthe solicitation of bids from firms to provide direct accessservice for electricity for all campuses under the new deregulatedenvironment in California. Enron’s selection was based on theanalysis of an evaluation team and concurrence by the chiefadministration business officers at the UC and CSU campuses.

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