Energy Management’s mission is to provide reliable and cost-effective energy services to the IUP campus. The procurement of utilities consists of four groups: natural gas, electricity, water, and co-generation.
The university purchases natural gas on the wholesale market from approved suppliers by utilizing the competitive, electronic bidding services platform provided by the Penn State Facilities Engineering Group (PAFEI). The contracted vendor supplies the commodity product to the local distribution company (Peoples Natural Gas Company), which transports and delivers the natural gas to metered locations across IUP’s main and satellite campuses.
HESS Energy Marketing Co, doing business as Direct Energy LLC., is the current supplier servicing the primary, wholesale purchase account. Secondary accounts are currently serviced by Dominion Retail, Equitable Energy Co., and Compass (Integrys) Energy Co. as procured through the competitive bidding process.
The university purchases electricity on the wholesale market from approved suppliers by utilizing the competitive, electronic bidding services platform provided by the PSFEI. The contracted vendor supplies the commodity product to the local distribution company (The Pennsylvania Electric Company, PENELEC), which transports and delivers the electrical energy to metered locations across IUP’s main campus.
HESS Energy Marketing Co, doing business as Direct Energy LLC., is the current supplier servicing the wholesale purchase account. The satellite campus at Northpointe (Kittanning) is currently served by the Allegheny Power Company as the local distribution company at that location.
The Pennsylvania American Water Company provides water services to numerous metered locations across the campus. A separate, drilled deep well provides a source of auxiliary water for the production processes at the Central Energy Facility and at a significant cost savings over municipally purchased water.
A combined heat and power (CHP) plant is located on IUP’s main campus and provides supplemental electricity and steam services to a majority of the surrounding buildings. The facility has ample capacity to power the entire campus electrical system, and any excessive power generated is sold at market rates to PJM, ISO. All of the steam produced is consumed locally in campus buildings.
Plant operations are governed generally by the economic dynamics of the regional electrical systems and with co-generation utilized during periods when electricity market prices are elevated. A computerized, automated dispatch service monitors real-time demand and price fluctuations on the power grid and identifies periods of economic opportunity for co-generation at IUP.
Additional revenues are realized by participation in energy management programs available to registered members of the regional Independent System Power Operators (ISO) on the Pennsylvania, New Jersey, and Maryland (PJM) electrical interconnection. Monetary payments or financial discounts are garnered for available capacity, demand performance, net zero peaking demand, and dispatched reliability programs.
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