Arizona Public Service Co. improves trading flexibility with regional market membership
Energy traders from the Arizona Public Service Co. (APS) completed its first transaction on Saturday as a participant in the western regional Energy Imbalance Market (EIM).
The market enables participants to improve efficiency through the purchase and sale of power in smaller increments than was previously possible.
“Participating in a market that enables APS to buy and sell power closer to when electricity is consumed will result in meaningful economic savings to customers through lower production costs and better integration of renewable resources like solar,” Tammy McLeod, vice president of resource management for APS, said.
APS anticipates savings of between $7 million and $18 million each year as a result of the improved trading efficiency EIM provides.
“Any proven technology that allows us to be innovative and flexible in the way we power our customers’ lives – while cutting costs – is important to Arizona’s energy future,” McLeod said. “Our decision to participate in the EIM is another example of how we’re providing our customers with a cleaner, stronger and smarter system to meet their changing energy needs.”
EIM was launched on Nov. 1, 2014, with benefits and savings in the ensuing months totaling more than $88 million.
“Participants in the EIM have seen considerable benefits since the market was launched in 2014,” Steve Berberich, president and CEO of the ISO, said. “Broader utility participation across the West means increased access to diverse resources which translates into benefits for customers.”
