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Vol.7, No 13, September 21, 1999 
[news]

CSU cuts energy charges

By Don Weberg
Daily Forty-Niner

In an effort to keep the cost of electricity down, the CSU and UC campuses entered into an agreement with Enron Energy Services, a brokerage energy provider.  
 
The four-year contract, in only its first year, has shown substantial savings for those campuses that signed, according to a CSU press release.   
 
Between the two systems, UC and CSU, campuses that signed the agreement have saved $3.5 million total, $1.36 million for CSU and $2.13 million for the UC campuses.  
 
"The Enron arrangement has permitted UC and CSU to save on energy costs, then re-invest those savings in energy-efficient projects that reduce consumption and in turn reduce costs even further," said UC President Richard C. Atkinson.
 
The demand for electricity keeps going up, thus, so do the costs of power, according to Tim Ball, director of Facilities Management at Cal State Long Beach.  But the Enron deal will help offset the costs of the growing demands.
 
The sheer amount of electricity required by the CSU and UC campuses has allowed them to buy power and service at 5 percent less than the average price. 
 
This leads to the ability to keep more computers and lights running at a lesser cost than before.  The savings to students are indirect in that respect. 

"Such relationships and productivity improvements have allowed us to re-channel more than $45 million from administrative costs to educational services over the past years," CSU Chancellor Charles Reed said in a press release.

 
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