BOSTON and WORCESTER, Mass., Oct. 23, 2013 (GLOBE NEWSWIRE) -- World Energy Solutions, Inc. (Nasdaq:XWES), a leading energy management services firm, today announced it has helped GSA, New England Region, successfully procure over 920 million kWh of electricity – including more than 69 million kWh from renewable sources – for 119 federal accounts in Connecticut, Maine, Massachusetts, New Hampshire and Rhode Island. The strategic procurement included, for the first time, federal accounts in the Commonwealth of Massachusetts, more than quadrupling the load GSA, New England Region, last auctioned with World Energy in 2011.
Through a series of competitive online auctions on the World Energy Exchange®, GSA tested multiple products and terms in a fair and transparent manner, receiving 168 bids from 8 suppliers in under two hours. The online event resulted in seven new 36-month contracts for block and index and fixed-price products – including 7.5% green power – that are expected to yield more than $5.5 million in annual savings compared to the participating agencies' prior agreements.
The block and index product was specifically developed for the New England power market and incentivizes federal agencies to shed load during peak pricing periods. Along with GSA, participants in the procurement included the American Red Cross, Bureau of Prisons, Department of State, Hanscom Air Force Base and the Veterans Administration. Delivery under the new terms is set to begin March 2014.
"This was a breakthrough procurement for GSA and World Energy," said Jonathan Harvey, Vice President, Government, at World Energy Solutions. "The GSA team and its energy division are to be commended for executing an outstanding procurement that sets a high bar for using innovative pricing products that leverage federal agencies' investments in demand side management with supply-side buying strategies. Utilizing a block and index product that only fixes prices during a portion of the calendar year in the months prices are highest and allows prices to float in the remaining months when prices are up to 50% lower will help federal agencies save money in a time of ongoing budget pressure."
Dating back to 2001, World Energy has had a long and successful relationship with GSA. Over this period, GSA and its clients have won several awards for energy procurement practices. Through World Energy, GSA has procured more than 13 billion kWh of electricity supply and 170 million Dth of natural gas supply for federal facilities over the course of hundreds of procurement events.
As the federal government's workplace solutions provider, the U.S. General Services Administration works to foster an effective, sustainable and transparent government for the American people. GSA's expertise in government workplace solutions include:
- Effective management of government assets, including more than 9,600 government-owned or leased buildings and 215,000 vehicles in the federal fleet, and preservation of historic federal properties;
- Leveraging the government's buying power through responsible acquisition of products and services making up approximately 14 percent of the government's total procurement dollars;
- Providing innovative technology solutions to enhance government efficiency and increase citizen engagement; and
- Promoting responsible use of federal resources through development of government-wide policies ranging from federal travel to property and management practices.
For more information about GSA, please visit www.gsa.gov.
About World Energy Solutions, Inc.
World Energy Solutions, Inc. (Nasdaq:XWES) is an energy management services firm that brings together the passion, processes and technologies to take the complexity out of energy management and turn it into bottom-line impact for the businesses, institutions and governments we serve. To date, the Company has transacted more than $40 billion in energy, demand response and environmental commodities on behalf of its customers, creating more than $2 billion in value for them. World Energy is also a leader in the global carbon market, where its World Energy Exchange® supports the Regional Greenhouse Gas Initiative (RGGI), the first mandatory market-based regulatory program in the U.S. to reduce greenhouse gas emissions. For more information, please visit www.worldenergy.com.
This press release contains forward-looking statements. The words "anticipates," "believes," "estimates," "expects," "intends," "may," "plans," "projects," "will," "would" and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. The Company has based these forward-looking statements on its current expectations and projections about future events, including without limitation, its expectations of backlog and energy prices. Although the Company believes that the expectations underlying any of its forward-looking statements are reasonable, these expectations may prove to be incorrect and all of these statements are subject to risks and uncertainties. Should one or more of these risks and uncertainties materialize, or should underlying assumptions, projections or expectations prove incorrect, actual results, performance or financial condition may vary materially and adversely from those anticipated, estimated or expected. Such risks and uncertainties include, but are not limited to the following: the Company's revenue and backlog are dependent on actual future energy purchases pursuant to completed procurements; the demand for the Company's services is affected by changes in regulated prices or cyclicality or volatility in competitive market prices for energy; the potential impact on the Company's historical and prospective financial results of a change in accounting policy may negatively impact its stock price; and other factors outside the Company's control that affect transaction volume in the electricity market. Additional risk factors are identified in the Company's Annual Report on Form 10-K for the year ended December 31, 2012 and subsequent reports filed with the Securities and Exchange Commission. The forward-looking statements made in this press release are made as at the date hereof. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events, other than as required by securities laws.
Source:World Energy Solutions, Inc.