USM Energy Initiatives

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USM Energy Initiatives
Joan Kowal Energy Manager, UMCP

May 1, 2009
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Renewable Energy

• UMCP on behalf of USM and DGS has issued a
  Request for Proposals for Clean Energy
• Long term Power Purchase Agreement (PPA)
• Projects developed and financed privately
• Expect to serve approx. 20 of State agency and
  USM electric load
• Purchase will include energy, capacity and
  renewable energy credits (RECs)
• Contract available to other state entities that
  have equivalent or better credit than USM
• Expect to award to several projects for
  diversification

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Aggregated Procurements

• USM and DGS jointly procure natural gas and
  electric
• Natural gas for large accounts is purchased on a
  rolling 36 month window
• Large electric accounts will start a block and
  index contract 7/1/09
• Allows large accounts to peak shave and reduce
  costs during high priced hours
• Reduces retail premium
• Index is PJM locational marginal price
• Future efforts include evaluation of USM becoming
  a PJM member

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Case Study for Carbon Neutral Buildings

• Future carbon neutral buildings to consist of
• Increased energy efficiency
• Renewable energy technologies
• Purchased renewable energy
• Evaluate a current capital project process
• Modify budget requests
• Establish energy efficiency guidelines
• Evaluate alternative energy systems (including
  renewable energy technologies)
• Utilize life cycle cost analysis
• Provide recommendations as appropriate

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Results of On-going UMCP Lighting Project

• Footnotes
• University provides materials (purchased in
  large quantities) to unit price
• contractors.
• Using ballasts with centrally controlled 50
  step dimming at night.
• Excludes cost of capital (1 fee) GC PO
  prevailing wage PM is state
• funded no performance guarantees.