Unitil Files May 2006 Post-Transition Power Supply Proposal
Hampton, NH (April 5, 2005): Unitil Corporation (AMEX:UTL) announced that its New Hampshire retail operating subsidiary has filed its plan for procurement of post-Transition power supplies with the New Hampshire Public Utilities Commission (NHPUC). Under New Hampshire's Electric Restructuring Law, the Transition period ends in April, 2006. The plan specifies how Unitil will procure and price electric Default Service for its customers effective May 1, 2006. Electric Default Service is the electrical energy supply service Unitil will provide for customers who do not purchase directly from a competitive electric energy supplier.
"In the long term, competitive retail electric energy markets will provide all customers with the widest range of options at the lowest prices," said Robert G. Schoenberger, Unitil's Chairman and Chief Executive Officer. "As we take this important step in the implementation of electric restructuring in New Hampshire, we recognize that these competitive options are developing at different speeds for different customer segments, and we remain committed to providing our customers with dependable energy supplies and reliable delivery services at rates that remain among the lowest in New England."
Under Unitil's plan, Default Service for residential and small to medium business customers will be procured competitively from the wholesale market as a portfolio of contracts with staggered terms in order to reduce price volatility to these customers. This provision is necessary because competitive retail supply options are not presently available for these customers and are expected to take time to develop. Changes in Default Service contracts and the resulting blended retail prices will take place every six months.
Default Service for large business customers will be procured competitively from the wholesale market every three months. Large business customers with a demand equal to or greater than 1000 kVa will receive a monthly variable price. Large business customers with a demand less than 1000 kVa will automatically receive a fixed price for the three month period, but could choose the monthly variable price option.
Unitil seeks a final order from the NHPUC July 29, 2005 so that it can begin the power supply solicitation process in early August.
Unitil Corporation (www.unitil.com) is a public utility holding company with subsidiaries providing electric service in New Hampshire, electric and gas service in Massachusetts and energy services throughout the Northeast.
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