We were pleased to announce last Friday that Constellation Energy signed an agreement to acquire the privately held demand response (DR) company CPower, which has an 850 MW book of business in New England, New York, PJM, ERCOT, California and Ontario and has built itself into an industry leader as one of the earliest providers of DR services. This acquisition will more than double the size of our DR team and increase our overall dispatchable DR load to 1,500 MW.
While this move is important to our business, we’re more excited about how this will create a platform from which we can transform the industry and meet the many needs of our customers. It will give us additional systems and talent necessary to deliver solutions that help customers think in whole new ways about energy. The addition of CPower will allow us to more effectively respond to, and in some cases create, the changes that are coming about with the development of the smart grid.
A major highlight of this acquisition includes the significant benefit that CPower customers will gain immediately through our innovative online energy management tool, VirtuWatt™, which allows customers to manage and optimize electricity usage in real time.
This is an exciting move for Constellation Energy. The closing of the transaction is expected to occur in the fourth quarter of 2010, subject to customary closing terms and conditions. Check back for more updates regarding this development in the future.