BOSTON, MA and WORCESTER, MA--(Marketwire -01/10/12)- World Energy Solutions, Inc. (NASDAQ: XWES - News), a leading energy management services firm, today announced it has teamed with SAIC (NYSE: SAI - News) to help GSA, New England Region, successfully procure over 220 million kWh of electricity for 60 of its facilities and other federal accounts in Connecticut, Maine, New Hampshire and Rhode Island. Along with GSA, participants in the procurement included the American Red Cross, Bureau of Prisons, Department of State and Veterans Administration.
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 over 150 bids from six suppliers -- 41 percent of which came in the last 15 seconds of the auctions. The online events resulted in new 24 and 36-month contracts that are expected to yield more than $3.75 million in annual savings compared to the participating agencies' prior agreements, or a rate reduction of 39.5 percent. Delivery under the new terms began January 1, 2012.
"Getting such a strong level of supplier participation in these particular energy markets was a big win for GSA and underscores the merits of our competitive process," said Jonathan Harvey, Vice President, Government, at World Energy Solutions. "The bidding activity in these auctions was among the best we have ever seen in New England for government accounts, and supplier feedback about how the event was run was overwhelmingly positive. The GSA team and its energy division are to be congratulated for an outstanding procurement that delivers strong savings in a time of tight budgets."
Added Bob Zarnetske, GSA Regional Administrator for the New England Region: "Reducing our nation's reliance on foreign energy and winning the future through innovation are top priorities of the Obama administration. Working with the World Energy Exchange is one of the ways GSA is saving taxpayer dollars and achieving better results."
These power transactions mark new business for World Energy with GSA under the terms of a 5-year energy management contract executed in 2010. That contract, which runs through September 30, 2015, provides supply-side energy procurement and management services to an extensive network of federal government agencies.
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 nearly 13 billion kWh of electricity supply and 120 million Dth of natural gas supply for federal facilities over the course of hundreds of procurement events.
About GSAAs 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 - News) 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 $20 billion in energy, demand response and environmental commodities on behalf of its customers, creating more than $1 billion in value for them. World Energy is also a leader in the global carbon market, where its World Energy 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.