Sempra Energy Information Solutions, a newly-formed SempraEnergy subsidiary, announced yesterday it has entered into a jointventure with two information technology companies to form SolianceNetworks, a provider of Internet-based information systemstargeting small and mid-sized energy utilities. Sempra owns themajority interest in Soliance and Dale Kelly-Cochrane, the formervice president of Sempra Energy’s strategic planning forunregulated businesses, is the joint venture’s president.

“As natural gas and electric industry deregulation spreadsnationwide, many mid-sized utilities have billing andcustomer-service computer systems that are not designed to functionin a competitive marketplace, where a utility’s system needs tocommunicate seamlessly with a whole host of new energy serviceproviders,” said Kelly-Cochrane. “Many traditional utility systemsare expensive to upgrade and unable to leverage Internet-basedbusiness solutions. Soliance Networks’ products are designed toprovide small to mid-sized utilities with a competitive advantagethrough cost-effective billing, revenue cycle and customer serviceoptions.”

Based in San Diego, CA, the joint venture offers utility servicesystems such as billing, finance, accounting, supply-chainmanagement and customer service via the Internet. It has alreadybegun serving customers, said Alex Hemmrick, a Sempra Energyspokesperson. She would not disclose how much the joint venturecost to form. Cayenta.com, a subsidiary of the Titan Corp., andJacksonville, FL-based modis, Inc. are the other two companiesinvolved in the venture.

With 23 states already exploring energy deregulation and moreexpected to follow, Soliance said it expects demand for itsproducts to blossom as utilities search for system upgrades andconversions.

“Typically, a utility can expect to spend millions of dollarsfor in-house information technology upgrades that quickly becomeoutdated. Through Soliance Networks, utilities can achieve the sameresults in less time without the high costs,” said Dr. Gene Ray,CEO of Titan Corp.

The newly formed venture offers customers in-house installationor purchase of products and services on a per-transaction basisover the Internet. Other customer support services include in-siteassistance, system maintenance, consulting, integration, trainingand post-implementation support.

Hemmrick said Sempra Energy Information Solutions was formedspecifically for the joint venture. The parent company hasconsolidated all of its information systems operations under thisnew company.

Soliance has already provided the back-room operations forEnergy America in Atlanta. Energy America is a Sempra Energymarketing arm. “We’re focusing on mid-sized utilities, butSoliance’s products could service marketers and large industrialcustomers as well,” Hemmrick said. “The experience with EnergyAmerica’s Atlanta customers was positive and demonstrated to usthat Soliance’s products would be useful not only for marketers butfor utilities as well.”

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