Piedmont Electric Membership Corporation announced it has negotiated a revised long-term agreement with Duke Energy Carolinas related to supplying a portion of its wholesale power resource needs effective January 1, 2011.
Through the agreement, Duke will continue to provide power scheduling services and will serve an increasing amount of the Cooperative’s wholesale power requirements through 2031. The agreement also includes options for demand side management provisions and treatment of renewable energy resources, both options will be financially beneficial to Piedmont Electric.
“Our vision for the agreement with Duke is to secure the most reliable and cost-effective power supply for our members for many years into the future,” said R.G. Brecheisen, President and CEO of the electric cooperative.
“We’re pleased we are able to continue our power supply contract with a North Carolina-based utility. Duke is well known in the industry for doing an excellent job in planning and building power generation resources to meet the growing needs of consumers,” he noted, adding the enhanced treatment of renewable energy resources and demand side management was also a critical driver in the decision.
“The agreement we’ve signed with Duke is good for our members and the communities we serve,” he added. “It will provide for our members’ electricity needs now and in the future. It is also expected to help control costs in the foreseeable future.”
The agreement has been approved by the Federal Energy Regulatory Commission, which is the federal commission that regulates Duke’s wholesale transactions. The agreement has also been approved by the Rural Utilities Service of the United States Department of Agriculture, which is the Cooperative’s federal lending agency.
Duke Energy Carolinas owns nuclear, coal-fired, natural gas and hydroelectric generation. That diverse fuel mix provides approximately 19,000 megawatts of electricity capacity to approximately 2.4 million customers in a 22,000-square-mile service area of North Carolina and South Carolina.
Headquartered in Charlotte, N.C., Duke Energy is a Fortune 500 company traded on the New York Stock Exchange under the symbol DUK. More information about the company is available on the Internet at: www.duke-energy.com.
Piedmont EMC is part of the national Touchstone Energy alliance of 930 local, consumer-owned electric cooperatives in 47 states that are providing high standards of service, energy and energy solutions to approximately 40 million consumers every day.
Owned by those they serve, Touchstone Energy cooperatives operate as not-for-profit entities with a focus on integrity, accountability, innovation and a long-standing commitment to communities.
Piedmont EMC, with headquarters in Hillsborough, serves more than 31,000 members in Alamance, Caswell, Durham, Granville, Orange and Person counties.