PPL Electric Utilities on Wednesday (7/1) requested Pennsylvania Public Utility Commission approval of an energy efficiency and conservation plan to help its customers use electricity more wisely.

The submittal is part of Pennsylvania Act 129 of 2008, which was passed by the Legislature and signed by the governor last fall as a way to reduce electricity use, expand the use of advanced metering technology and set requirements for electricity supply purchases by utilities.

The plan includes more than a dozen energy efficiency and conservation programs, ranging from energy-efficient equipment rebates to expanded home weatherization services for eligible customers.

"As electricity users, we all have the potential to save energy," said David G. DeCampli, president of PPL Electric Utilities. "Sometimes it just takes knowing where to start and getting a little help."

DeCampli said the company's plan offers opportunities for every customer group, from large commercial customers and institutions to small businesses, homeowners and renters. The plan aims to reduce customers' electric use by more than 1.3 billion kilowatt-hours a year by mid-2013.

"The plan we've proposed lays out programs that will dramatically expand our existing e-power campaign to promote wise energy use and help our customers save money, conserve resources and contribute to protecting the environment," he said.

In the last 50 years, customer electric use has surged nearly 500 percent - PPL Electric Utilities delivered 38 billion kilowatt-hours of electricity in 2008 compared with just 6 billion kilowatt-hours in 1960.

"With bigger homes, more air conditioning, and more appliances, gadgets and home electronics, customers are using far more electricity than they did decades ago, and they're spending more as a result," DeCampli said.

"That's why it's important that electricity users make the best decisions they can, from purchasing energy-efficient appliances to taking actions that reduce their electric use," he said.

Among measures PPL Electric Utilities has proposed are:

• Rebates to customers who install energy-efficient equipment, including lighting, appliances, programmable thermostats, and heating and cooling systems.
• Nearly doubling the company's funding of home weatherization and conservation services for low-income customers.
• Financial incentives for customers to weatherize their home or get a home energy audit.
• A compact fluorescent lighting campaign to distribute more than 7 million energy-efficient light bulbs through a combination of giveaways and discount programs.
• A program to promote construction of energy-efficient homes, and grants to help offset higher construction costs.
• Rebates to encourage recycling of old, inefficient refrigerators and freezers.
• Energy efficiency education and take-home kits.
• Rebates for commercial customers who have their heating, ventilating and air-conditioning systems tuned up and improved to increase energy efficiency.
• A time-of-use pricing option that would allow residential customers and some businesses to save money by shifting their electricity use from periods when demand is high.
• Financial incentives for customers to reduce use during peak hours or install remote-controlled devices on certain appliances so that the company can scale back electric use when summer demand is highest.
• Financial incentives for customers to install solar energy systems or geothermal heat pumps.

The plan proposed by PPL Electric Utilities will help the company meet the energy efficiency mandates of Act 129, which requires electric utilities to reduce customers' annual energy use 1 percent by mid-2011 and 3 percent by mid-2013. It also requires utilities to reduce customers' peak demand, or peak hourly use, by 4.5 percent by mid-2013.

PPL Electric Utilities held several daylong meetings to gather input on its draft energy efficiency plan from representatives of economic development organizations, state agencies, consumer advocates, environmental groups and operators of energy efficiency programs. The company plans to partner with community agencies, equipment manufacturers, appliance retailers, contractors and others to carry out some of the proposed initiatives.

The PUC is expected to act on the plan by Nov. 1, and the company hopes to begin offering some of the new programs by the end of the year and most by early 2010.

DeCampli said the company already has taken steps to raise awareness about energy efficiency in recent years. For example, today PPL Electric Utilities is able to provide all of its 1.4 million customers access to detailed usage information like few, if any, utilities can in the country.

The company's online Energy Analyzer at www.pplelectric.com allows customers to view daily and hourly usage information. Customers can experiment with changes, like adjusting their thermostat, to see the difference it makes. They can complete a home profile on the Energy Analyzer to see where their energy dollars are being spent and get personalized tips to save.

The company's e-power team is visiting thousands of customers each year to share energy-saving tips. In addition, the company shares monthly tips in a newsletter that accompanies customer bills. PPL Electric Utilities also funds rebates to small businesses that upgrade to energy-efficient lighting and rebates to residential customers who have their home's energy use evaluated by a certified energy auditor.

SOURCE PPL Electric Utilities

VEGA PROMOTIONAL SYSTEMS, INC. (Pink Sheets: VGPR) today announced through its wholly owned subsidiary, Natural Fuels Industries, it is planning to construct a manufacturing facility in the State of Georgia to produce alternative energy from organic waste.

According to a recent Forbes Magazine article entitled "America's Best Places For Alternative Energy," the abundance of biomass in Georgia's Bioenergy Corridor ranks third in the nation as a potential source of renewable energy. The article referenced the amount of privately owned forest in Georgia, more than any other state in the country, as a reason for the state's ranking. Forbes also cited that roughly 50 million tons of the state's own timber ends up in the state's wood-products manufacturing plants every year and the industry returns nearly half of it in the form of primary mill wood debris.

"Georgia's wealth of natural resources combined with our research institutions and a strong business climate create an ideal environment for the development of renewable energy," said Georgia Governor, Sonny Perdue. "We appreciate Forbes' recognition of our ability to develop alternative energy sources."

The proposed Georgia facility would be designed to produce alternative/green energy. When completed, the plant would have the capacity to produce several hundred thousand metric tons of biomass fuel pellets annually. NFI recently announced it has entered into a Letter of Intent to purchase a 20% equity interest in a biomass manufacturing facility currently under construction in MAP Ta PHUT, Thailand.

Biomass or biofuel is material derived from recently living organisms. This includes plants, animals and their by-products. For example, manure, garden waste and crop residues are all sources of biomass. It is a renewable energy source based on the carbon cycle, unlike other natural resources such as petroleum, coal, and nuclear fuels. The use of biomass fuels can therefore contribute to waste management as well as fuel security and help to prevent global warming

NFI's Business Plan calls for manufacturing facilities to be constructed in various locations around the world. The Georgia plant would be the Company's first in the United States and would serve as a model facility for other plants in the U.S. A plant of this size could create approximately 200 jobs.

NFI markets various products including energy efficient pellet fuel made from organic waste bi-products using unique and innovative ideas combined with proven technology. The Company's current expansion includes building manufacturing plants in various international locations that will produce biomass products and bio-diesel products for power generation units. It is estimated that in the next five years the biomass industry will become a $20 billion industry.

SOURCE Vega Promotional Systems, Inc.

A new national poll of 800 residents by the Sacred Heart University Polling Institute found a nearly even split between those suggesting nuclear energy was very or somewhat safe (46.1%) and those who said somewhat dangerous or very dangerous (44.7%).

"Americans are split about whether nuclear power is safe or not, and many people have specific security concerns about nuclear power. The two dangers that concern a majority of Americans are the problems with radioactive waste storage, a top criticism of nuclear power, and possible plant meltdowns," says Dr. Josh Klein, assistant professor in the Department of Criminal Justice at Sacred Heart University.

A majority of Americans (58.4%), however, indicated that nuclear energy's radioactive waste is a danger that humans will face for thousands of years to come.

Over one-third of respondents, 36.8%, expect the number of nuclear weapons to increase worldwide as a result of building more nuclear power plants.

Poll respondents did consider other energy sources as significantly more safe than nuclear energy. A large majority, 94.6%, saw wind energy as very or somewhat safe. This was followed by river and tidal energy (80.0%), geothermal energy (68.5%), fossil fuels such as coal, oil and natural gas (56.1%), and biofuels (55.6%).

While over half of those surveyed, 53.6%, were concerned about the danger of future nuclear energy plant meltdowns, nearly the same percent (54.2%) suggested that nuclear power plants will be safer in the future because of newer technologies making plants meltdown-proof.

And, 36.8% did not see a proliferation of nuclear weapons because nuclear energy and nuclear bombs utilize significantly different technologies.

Three-quarters of Americans (76.5%) were aware the United States Environmental Protection Agency had begun the process of listing carbon dioxide emissions as pollution that endangers public health. And, 77.0% of all survey respondents strongly or somewhat supported the EPA's decision to regulate carbon emissions.

According to Dr. Klein, "The survey mixed pro and anti nuclear statements in equal measure. As a result, we found that about the same proportion expressed concern about future meltdowns (53.6%) as said that nuclear energy will be safer because they will be meltdown-proof (54.2%). Similar splits occurred in this survey regarding other nuclear safety concerns. These reflect some confusion, which is to be expected, given the limited information in major media."

EXPERTS AVAILABLE FOR COMMENT

• Dr. Josh Klein is an associate professor in the Department of Criminal Justice at Sacred Heart University. Prior to his full-time academic career, he worked in survey and public opinion research. His current research is about organized violence and state-corporate crime.
• Jerry Lindsley, director, Sacred Heart University Polling Institute

To speak with these experts, please contact Funda Alp at 203-396-8241 or alpf@sacredheart.edu" target=_new>alpf@sacredheart.edu or Tracy Deer-Mirek at 203-371-7751 or deer-mirekt@sacredheart.edu" target=_new>deer-mirekt@sacredheart.edu.

How the Poll Was Conducted

The Sacred Heart University Polling Institute completed 800 surveys nationally. All telephone interviews were conducted between May 27 and June 9, 2009. One survey instrument was used to elicit information from all respondents. Statistically, a sample of 800 completed telephone interviews represents a margin for error of +/-3.5% at a 95% confidence level.

SOURCE Sacred Heart University

DTE Energy Chairman and CEO Anthony F. Earley, Jr. said today that for the U.S. to achieve ambitious targets of reducing carbon dioxide emissions, nuclear energy will be one of the most effective climate control strategies for the nation's electric utilities.

Speaking at The National Summit, a three-day meeting in Detroit featuring prominent business, government and academic leaders, Earley said that nuclear energy will play a crucial role not only in addressing global climate change, but also in meeting the country's growing electricity needs.

"Nuclear energy provides clean, reasonably priced electricity at extremely high levels of safety and reliability," he said. "In 2008, the U.S. fleet of nuclear plants operated at just over 90 percent capacity - the highest level ever. Nuclear power has proven itself safe, clean, reliable and affordable. And that's with a generation of plants designed in the 1960s and 1970s."

Earley said today's nuclear power plant designs are much improved and more standardized, making them simpler, more compact, safer and less costly to build and operate. But he said there currently is a shortage of suppliers to provide the materials necessary for the construction of new nuclear plants.

"One of the challenges we'll face with the resurgence of nuclear energy is also one of our biggest opportunities," he said. "The number of U.S. nuclear suppliers has shrunk and global competition is already heating up for the limited material and manpower now available.

"There's no doubt we need more suppliers, as well as highly-skilled construction workers to build nuclear units, and more qualified operators to run new plants," Earley said. "At the peak of construction, a nuclear plant will employ an estimated 2,300 skilled workers. And upon completion, approximately 700 skilled workers will be required to operate and maintain the plant - at wages 36 percent above those for workers in similar jobs at non-nuclear facilities."

Each year the average nuclear plant generates approximately $430 million in sales of goods and services in the local community and nearly $40 million in total labor income, Earley said. According to the Nuclear Energy Institute, the average nuclear plant generates state and local tax revenue of almost $20 million each year and federal tax payments of approximately $75 million each year. These tax dollars benefit schools, roads and other state and local infrastructure.

While nuclear energy will play a significant role in meeting the country's growing demand for electricity, Earley cautioned that there is no single solution to the nation's energy challenge.

Most utilities are working to increase their mix of renewable energy - and this is an area where the country will see incredible growth over the next decade, he said. Wind power is now the fastest-growing renewable energy source in the nation, accounting for about 30 percent of all new power generating capacity added in the U.S. last year.

"But windmills and solar panels will never power an auto assembly line or a cold-rolled steel mill," Earley said. "You need big baseload coal-fired and nuclear plants to keep them running and to form the reliable backbone of a national grid."

Earley also warned that the nation's energy infrastructure is nearing "the end of its useful life," noting that the average age of a power plant in Michigan is 48 years. Given that the useful life of a plant is usually 60 years, and that it can take a decade to plan and build a new plant, change is definitely on the horizon.

"To accommodate our growth, cope with plant retirements and deal with environmental concerns, we'll need to make massive investments to our infrastructure - as much as $2 trillion by 2030," he said. "And that doesn't include the unknown costs of potential climate change legislation and state or federal renewable portfolio requirements.

"The road to a clean, safe and secure energy future will require creative thinking, hard choices and huge investments," Earley continued. "And it will require adaptability - to shifting government policy, advancing technology, an uncertain economy and fickle consumer preferences.

"Buckle your seat belts. It's going to be an exciting ride."

Source: DTA Energy

Duke Energy (NYSE: DUK) today announced it will join forces with Cisco Systems Inc., the world's largest network communications company, to fast-track development of Duke Energy's state-of-the-art electric "smart grid."

"Our goal is to rapidly transform the way electricity is delivered to, and used by, the 11 million people we serve in five states," said Todd Arnold, senior vice president for smart grid and customer systems at Duke Energy, America's third-largest electric utility.

The three-year partnership is the latest development in Duke Energy's effort to rapidly convert its existing electricity delivery infrastructure into an advanced smart grid that uses two-way digital communication to reduce energy usage, improve efficiency, bolster system reliability, detect power outages, and integrate solar and other renewable energy sources into the electric grid.

Cisco, working closely with Duke Energy, will develop a highly refined, end-to-end, smart grid communications architecture - one that both companies believe will be among the most comprehensive and interoperable in the electric utility industry.

The newly created architecture will be based on what the industry calls "internet protocol-based open standards" - an approach that permits easy accommodation of new and emerging communications technology as it becomes available in future years.

"Internet protocol-based open standards are key to creating a smart, highly-secure backbone for the nation's modern electrical grid," said Marthin De Beer, senior vice president and general manager of Cisco's Emerging Technologies Group.

The two companies will jointly evaluate a variety of smart grid communications hardware and software, and oversee installation and testing of selected equipment and software throughout Duke Energy's electric grid.

In addition, Cisco will work with Duke Energy to develop and install home energy management devices to help customers control and reduce their electricity consumption.

The two companies also will test a new generation of durable, weather-proof communications equipment designed for use at Duke Energy's electric substations.

"Replacing our analog electric grid with advanced digital technology to create a 21st century electricity delivery system largely involves data, networks and communications - all of it Cisco's expertise," Arnold said.

"Partnering with Cisco is central to Duke Energy's plan to build an 'energy internet' that will improve electricity delivery, strengthen grid security, lessen our company's environmental impact, and help customers reduce their electricity usage," he said.

In Ohio, Duke Energy later this year will launch a five-year mass deployment of smart grid technology, including more than 700,000 electric smart meters and 450,000 natural gas smart meters.

In Indiana, Duke Energy is seeking approval from the Indiana Utility Regulatory Commission to install extensive smart grid technology, including approximately 800,000 smart meters.

Duke Energy yesterday announced it had reached a settlement agreement with the Indiana Office of Utility Consumer Counselor and key consumer and business groups regarding the company's Indiana smart grid proposal.

In addition to smart meters, Duke Energy plans to install a large amount of distribution automation - both hardware and software - to improve system efficiency and reliability on its electric grid in both Indiana and Ohio.

The company also is laying the groundwork to bring large-scale smart grid technology to three other states it serves - North Carolina, South Carolina and Kentucky.

"Working with innovative industry leaders like Duke Energy, Cisco will deliver an end-to-end network infrastructure from power plant to customer in order to manage electricity supply and consumption both efficiently and in an environmentally responsible manner," said Cisco's De Beer.

SOURCE Duke Energy

The Dow Chemical Company (NYSE: DOW) is shedding light on Concentrating Solar Power systems (CSP) with DOWTHERM(TM) A heat transfer fluids which collect, transport and store solar generated heat.

CSP technology uses mirrors to reflect and concentrate sunlight onto receivers that collect solar energy and convert it to heat. DOWTHERM(TM) A heat transfer fluids collect the heat energy and transport it to a power generating station. The transported heat converts water to steam, which in turn drives turbines to make electricity.

"We are committed to harnessing the vast potential of the sun to continue setting the standard for sustainability," said Neil Hawkins, Dow's vice president of sustainability. "In addition to innovations in sustainable chemistry that result in products like DOWTHERM(TM) A, we've also made significant advancements in photovoltaic technology through the development of a game-changing residential solar shingle by the Dow Solar Solutions business. Our 2015 sustainability goals are driving innovation that is good for business and good for the world."

Dow has supplied, or is in the process of supplying, enough DOWTHERM(TM) A globally to generate more than 500 megawatts of electricity from the sun - positioning its Performance Fluids Business as the leading supplier of heat transfer fluids in the world for parabolic trough based solar systems. Solar power producers in the United States, Middle East, Spain, Australia, India and other locations are tapping into Dow's technology and world-scale production and supply capabilities.

Recent projects in Spain will be using more than 5,000 metric tons of DOWTHERM(TM) A heat transfer fluids that will eventually generate enough electricity for about 120,000 households. These plants will also prevent the release of about 350,000 tons of carbon dioxide that would have otherwise been released into the atmosphere had traditional fuels been used.

Dow has demonstrated its commitment and leadership in energy efficiency all around the world. Over the last 14 years, Dow's efforts to conserve power globally have resulted in saving more than 1,600 trillion BTUs of energy and prevented the release of about 86 million metric tons of carbon dioxide.

Source: The Dow Chemical Company

National Semiconductor Corp. (NYSE: NSM) today announced results of rigorous internal reliability testing for its SolarMagic(TM) power optimizers. The results of the tests demonstrate SolarMagic has an industry-leading mean time between failures (MTBF) of 455 years which, when coupled with its 20-year warranty, make National's SolarMagic power optimizer one of the most reliable electronic photovoltaic (PV) system components available. SolarMagic improves the output of solar arrays when affected by real-world conditions such as shade, debris and panel aging.

"National Semiconductor has long been known for quality and reliability, creating high-performance analog and power management products for extremely demanding applications in space, military and automotive areas. We are now applying that expertise in reliability to raise the performance bar for the PV industry," said Dr. Prasad Chaparala, director of National's Technology Reliability.

After decades of designing and manufacturing analog and power management integrated circuits (ICs), National has the proven ability to provide an exceptionally reliable product in SolarMagic. National currently produces billions of analog and mixed-signal ICs a year and has a very low defect rate of less than one defective part per million (DPPM).

National designed SolarMagic to have a very high reliability by incorporating proper component derating, extensive reliability Failure Modes and Effects Analysis (FMEA), thermal analysis and pre-qualification reliability testing.

National's SolarMagic power optimizers have passed rigorous environmental qualification tests such as damp-heat exposure, humidity-freeze cycling and thermal cycling used for PV module qualifications. In addition, they have successfully undergone electronic-systems reliability qualification tests such as high temperature operating life tests, power temperature cycling and highly accelerated life tests (HALT). Data from more than two thousand hours of reliability stress testing of SolarMagic power optimizers demonstrated an MTBF of 455 years.

National manufactures critical analog IC components for SolarMagic power optimizers at its in-house wafer-fabrication plants and assembly facilities, where they are subjected to enhanced quality manufacturing flows. In addition, the power optimizers undergo stringent quality control during the system assembly process. Comprehensive tri-temperature testing and burn-in tests are performed on all production units, virtually eliminating any potential early life failures.

In addition to rigorous internal testing, Santa Clara, Calif.- based Ops a La Carte LLC provided reliability testing of National's SolarMagic power optimizer at its HALT and HASS Labs in Santa Clara. Ops a La Carte has had a long-term presence in the reliability field, conducting extensive reliability testing for the aerospace, automotive, medical, telecom, defense and energy (including fuel cell, oil and solar) industries.

Using distributed electronics throughout a solar installation, SolarMagic recoups up to 57 percent of energy lost due to real-world conditions. SolarMagic power optimizers will be available to customers in North America and Europe in late May 2009. For more information about SolarMagic, visit www.solarmagic.com.

SOURCE National Semiconductor Corp.

Southern Company today announced plans to demonstrate carbon capture and sequestration on a coal-fired power generation plant to support the development of technologies for reducing greenhouse gas emissions.

Along with the U.S. Department of Energy (DOE), Mitsubishi Heavy Industries Ltd. (MHI), the Electric Power Research Institute and other partners, Southern Company will build a demonstration facility to capture carbon dioxide emissions from an existing unit of subsidiary Alabama Power's Plant Barry near Mobile, Ala.

Beginning in 2011, between 100,000 and 150,000 tons of CO2 per year - the equivalent of emissions from 25 megawatts of the plant's generating capacity - would be captured for permanent underground storage in a deep saline geologic formation.

The CO2 will be supplied to the DOE's Southeast Regional Carbon Sequestration Partnership (SECARB), which will transport it by pipeline from the plant and store it underground at a site within the area of the Citronelle Oil Field, about 10 miles from the plant, operated by Denbury Resources. The Southern States Energy Board is leading the SECARB effort.

"This project will help increase our knowledge of carbon capture and sequestration, technology we must demonstrate at a commercial level in the effort to reliably generate electricity using coal with reduced greenhouse gas emissions," said David Ratcliffe, Southern Company chairman, president and CEO.

"The main challenge facing deployment of carbon capture and sequestration technology is demonstrating its effectiveness at a large scale," Ratcliffe added. "Our involvement in this and other related projects is part of our commitment to be a leader in finding solutions that make technological, economic and environmental sense."

With carbon capture and sequestration (CCS), CO2 released during the combustion of coal would be separated from the flue gas, compressed, and then permanently sequestered - or stored - deep underground.

The CO2 capture technology to be used in this project, called KM-CDR(TM), was jointly developed by MHI and the Kansai Electric Power Company Inc. It deploys an advanced amine-based solvent that reacts readily with CO2 in flue gas before being separated and compressed so that it is ready for pipeline transport.

The MHI process offers improved performance and lower cost than other existing capture technologies. The process has been demonstrated at smaller scale at a coal-fired generating station in Japan, and is currently being deployed commercially on natural gas-fired systems around the world. This project represents the largest coal-fired demonstration of the technology.

"We are excited to be a partner in this important project that will help further the global goal of reducing carbon dioxide emissions for the benefit of everyone," said Shunichi Miyanaga, executive vice president and representative director general manager of MHI's Machinery & Steel Structures Headquarters. "The confidence our partners have shown in the MHI CO2 capture technology is a testament to the research and development efforts we have undertaken during the past 20 years. Together with our partners, we are ready to deploy and demonstrate to the world the safety and viability of commercial-scale CCS."

An important part of any CO2 sequestration project is site selection through geologic characterization and a robust program to monitor the injected CO2. Therefore, a thorough monitoring process will be deployed to map the movement of the sequestered CO2.

Through this project and others, Southern Company and its partners seek to support the goal of better understanding the impacts of reducing CO2 emissions from electricity generation. The project in Alabama is designed to demonstrate start-to-finish CCS technology, an important step toward commercialization.

Plant Barry, located in Bucks, Ala., has a total capacity of 2,525 megawatts and includes seven generating units -- five coal-fired units and two natural gas-fired combined-cycle units.

SOURCE Southern Company

Power Output of Solar Projects is Expected to Equal the Consumption of 530,000 Average Homes

Pacific Gas and Electric Company (PG&E) announced today that it has entered into a series of contracts with BrightSource Energy, Inc. for a record total of 1,310 megawatts (MW) of solar thermal power. These power purchase agreements, covering seven projects, supersede the agreements PG&E executed with BrightSource in April 2008 for up to 900 MW of solar thermal power.

The first of these solar power plants, sized at 110 MW and located in Ivanpah, Calif., is contracted to begin operation in 2012. BrightSource will build and place in commercial operation each of its plants as quickly as permitting and infrastructure allow. All seven projects are expected to produce 3,666 gigawatt-hours of power each year, equal to the annual consumption of about 530,000 average homes.

"The solar thermal projects announced today exemplify PG&E's commitment to increasing the amount of renewable energy we provide to our customers throughout northern and central California," said John Conway, senior vice president of energy supply for PG&E. "Through these agreements with BrightSource, we can harness the sun's energy to meet our customers' power requirements when they need it most - during hot summer days."

"Today's agreements reflect the technological milestones that the BrightSource Energy team has achieved over the past year," said John Woolard, CEO of BrightSource Energy. "Our technology is setting the bar for efficient production of solar energy. We're thrilled by the opportunity to help PG&E and other leaders bring energy customers more clean and reliable solar energy."

Since 2002, PG&E has entered into contracts for more than 20 percent of its future electric power deliveries from renewable sources. On average, half of the electricity PG&E delivers to its customers comes from carbon-free generating sources, making the company's energy some of the cleanest in the nation.

SOURCE Pacific Gas and Electric Company

FirstEnergy Solutions (FES), a subsidiary of FirstEnergy Corp. (NYSE: FE), will provide discounted generation prices to residential and small commercial customers in 24 Ohio communities through governmental aggregation contracts.

Under the contracts, approximately 195,000 residential customers and 21,000 commercial customers will receive discounts off the generation component of their bills. The communities are Alliance, Aurora, Barberton, Boardman Township, Burton Township, Canal Fulton, Cortland, Defiance, Doylestown, Euclid, Green, Marion, Munroe Falls, Navarre, Ottawa Hills, Parma, Ravenna, Sandusky, Seven Hills, Silver Lake, Stow, Tallmadge, Troy Township and Trumbull County.

The governmental aggregator may choose between two agreements - a graduated or a flat percentage discount. The graduated discount plan offers savings of 10 percent in 2009, 6 percent in 2010, 5 percent in 2011 and 4 percent in 2012. The flat-rate percentage contract offers a 6 percent discount on generation prices through the end of the contract. Small commercial customers in these communities will enjoy a smaller graduated or flat-rate discount, as well, depending on the contract.

"We are pleased to provide these customers with competitively priced electric generation service from a local company," said Donald R. Schneider, president of FirstEnergy Solutions. "We are continuing to meet with communities, consistent with our retail strategy, and have additional agreements pending. Communities interested in providing similar discounts to their residents and small businesses should contact us before May 12, our deadline for current aggregation contracts."

Discounts will be based on the generation price customers would have been charged if they purchased electric generation service from their electric utility and did not switch to service from an alternate supplier. The electric utility prices will be established based on the outcome of a competitive bidding process (CBP) that will be conducted for Ohio Edison, Toledo Edison and The Illuminating Company. The CBP will secure generation supply and determine pricing for the period of June 1, 2009, through May 31, 2011. Generation discounts beyond that period will be based on the yet-to-be established generation price.

Under Ohio law, communities are able to form governmental aggregation buying groups to arrange for electricity, natural gas, or both on behalf of their citizens. The governmental aggregator chooses a supplier for all of the members in its group. Customers may opt out of the aggregation program and shop for a supplier or accept the standard rate offered by their utility.

Discounts under the contracts will be effective beginning in late summer or early fall, depending on when customers' meters are read. Ohio Edison, Toledo Edison or The Illuminating Company will continue to deliver the electricity, read meters, send monthly billing statements and maintain service for residents covered by the governmental aggregation contracts. Residents should continue to contact their utility company with questions about their service or to report a power outage.

Source: FirstEngery Corp.