SOURCE: World Energy Solutions

World Energy Solutions

January 26, 2011 08:01 ET

Vectren Energy Delivery of Ohio Conducts Annual SCO Natural Gas Auction With World Energy Solutions

Event Marks Third Straight Success for Vectren With World Energy; Results Lauded by PUCO

COLUMBUS, OH and WORCESTER, MA--(Marketwire - January 26, 2011) - World Energy Solutions, Inc. (NASDAQ: XWES), a leading energy management services firm, today announced Vectren Energy Delivery of Ohio (Vectren) has successfully conducted its annual natural gas auction for its Standard Choice Offer (SCO) load on the World Energy Exchange®. The auction secured natural gas supplies for Vectren customers from April 1, 2011 through March 31, 2012 and established a retail price adjustment of $1.35 per thousand cubic feet (Mcf).

Vectren's SCO rate is calculated as the sum of the retail price adjustment plus the New York Mercantile Exchange (NYMEX) month-end settlement price. This price adjustment reflects the winning bidders' estimate of their cost to deliver natural gas from the production area to Vectren's service area. The new price adjustment is 20 cents less than the current adjustment of $1.55.

In a previously released statement, Steven D. Lesser, Chairman of the Public Utilities Commission of Ohio (PUCO), said: "The new lower price demonstrates that the market can provide a more competitive commodity price for natural gas." (The full statement can be read at www.puco.ohio.gov/PUCO/MediaRoom/MediaRelease.cfm?id=10282).

The January 18th auction was monitored by PUCO Staff, Vectren and the Office of the Ohio Consumers' Counsel. The following day, the Commission agreed with PUCO Staff's post-auction assessment that the auction was conducted in a fair manner and accurately reflected the current natural gas market.

"World Energy continues to be an integral part of our process for sourcing competitive natural gas supply for our Standard Choice Offer customers," said Perry Pergola, Director, Gas Supply, Vectren Corporation. "We value the fairness, transparency and efficiency of the auctions and the competitive dynamic they foster, one that truly benefits rate payers."

Added Phil Adams, President, World Energy Solutions: "Over 60 utilities have signed on to use World Energy for procurements ranging from monthly and seasonal commodity buys to high-stakes, high-visibility events like this procurement with Vectren. We've earned the trust and respect of the utilities we support by making accountability job one. This shows in the thoroughness and transparency of our processes, the expertise and integrity of our people, and the results our technology consistently delivers. In dozens of high-stakes events, we have always succeeded, earning a perfect record of rate-case approvals by the presiding Public Utility Commission."

About World Energy Solutions, Inc.
World Energy Solutions, Inc. (NASDAQ: XWES) is an energy management services firm that applies an award-winning combination of people, process and technology to help clients manage energy as a strategic asset. To date, the Company has transacted more than $20 billion in energy, demand response and environmental commodities on behalf of its Government, Commercial & Industrial, and Utility customers, creating more than $1 billion in value for them. World Energy is also a leader in the global carbon market, where its World Green Exchange® supports the ground-breaking Regional Greenhouse Gas Initiative's (RGGI) cap and trade program for CO2 emissions. For more information, please visit www.worldenergy.com.

This press release contains forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ from those indicated in the forward-looking statements. Such risks and uncertainties include, but are not limited to the following: our revenue and backlog are dependent on actual future energy purchases pursuant to completed procurements; the demand for our services is affected by changes in regulated prices or cyclicality or volatility in competitive market prices for energy; and there are factors outside our control that affect transaction volume in the electricity market. Additional risk factors are identified in our Annual Report on Form 10-K and subsequent reports filed with the Securities and Exchange Commission.

Contact Information

  • For additional information, contact:

    Dan Mees
    World Energy Solutions, Inc.
    (508) 459-8156
    Email Contact

    Erika Moran
    The Investor Relations Group
    (212) 825-3210
    Email Contact