1. Newsletter December 2011
First Energy Update Natural Gas Update
FirstEnergy passes on the costs associated with Ohio’s The NYMEX settlement price at the end of November
energy efficiency mandates to their customers through was $3.364 per thousand cubic feet (Mcf), down 5%
a charge called the DSE2 charge. FirstEnergy just from $3.524 at the end of October. For Dominion East
announced their new DSE2 rates to be effective on Ohio commercial and residential customers under
January 1, 2012. The current and new rates in cents Choice, the price to beat is NYMEX plus $1, or $4.364
per kilowatt hour, by utility and rate schedule, are per Mcf beginning in mid-December. Columbia Gas of
summarized in the table below. Ohio’s price to beat is NYMEX plus $0.188 per hundred
cubic feet (CCF), or $0.5244 per CCF for December.™
Util. Rate Current 1/1/2012 Inc (Dec) %
CEI GS 0.0609¢ 0.2036¢ 234%
CEI GP 0.0865¢ 0.1059¢ 22%
CEI GSU 0.0804¢ 0.1024¢ 27% Lighting Upgrades
CEI GT 0.0805¢ 0.1205¢ 50% Many T12 lamps are being phased out of production
OE GS 0.1426¢ 0.1757¢ 23% because the U.S. Department of Energy issued rules
OE GP 0.2580¢ -0.0805¢ -131% in 2009 to eliminate most of the remaining commonly
OE GSU 0.2556¢ 0.0461¢ -82% used types of T12 lamps by July 14, 2012. The
OE GT 0.2544¢ 0.0410¢ -84% magnetic ballasts that are required to operate those
TE GS 0.0729¢ 0.2058¢ 182% T12 lamps were already phased out in October 2010.
TE GP 0.1265¢ -0.1197¢ -195%
If you still have T12 lamps in your facility, you will
TE GSU 0.1304¢ 0.1630¢ 25%
eventually have to upgrade to T8 or T5 fluorescent
TE GT 0.1165¢ 0.0874¢ -25%
lamps or the more efficient LED’s. There are financial
reasons to consider getting this lighting upgrade done
If the rates for your rate schedule are increasing, it is before July of 2012. For purposes of applying for
now even more important to see if you can qualify for exemption from the energy efficiency rider or obtaining
exemption from the energy efficiency charges. a lighting rebate from Ohio utilities, an upgrade from
Remember that you may count projects that have been T12 lamps will only be counted prior to July of 2012.
completed in the past 3 years, but only if you have not This is because T12’s will no longer be considered
taken a rebate from the utility for those projects. “standard” technology. That means that you have
Contact us if you have any questions about your about 6 months to complete an upgrade from T12’s to
situation.™ take advantage of these financial incentives. Note
that we have heard that the prices for LED’s may drop
in the first quarter of 2012, so these may become
more cost effective. Contact us if you want help with
applying for a rebate or for rider exemption.™
CALENDAR OF EVENTS
16TH ANNUAL OHIO ENERGY MANAGEMENT Welcome to our new client
CONFERENCE Velvet Ice Cream Company
Utica, Ohio
THE COLUMBUS RENAISSANCE HOTEL
50 NORTH THIRD STREET, COLUMBUS
FEBRUARY 21-22, 2012
See www.mecseminars.com for more information.™