Puget Sound Energy Seeking Outside Offers for New Power Supply in 2012 Through 2015

Request For Proposals Aims to Help Utility Meet Customers’ Energy Needs

Bellevue, Wash. (Aug. 1, 2011) – Puget Sound Energy today filed with state regulators a draft Request for Proposals (RFP) to solicit offers for new electric supply to meet customer needs.

The RFP, now awaiting review by the Washington Utilities and Transportation Commission (UTC), calls for proposals capable of starting power delivery to PSE as early as December 2012 but no later than December 2015.  PSE will consider various commercial arrangements, including, but not limited to, contractual power purchases and ownership participation in power production facilities.

“The weak economic recovery and our ongoing programs to help fund our customers’ investment in energy-efficiency measures continue to moderate our need for energy even while our need for capacity remains,” said Eric Markell, senior vice president and chief strategy officer for the utility. “We still need to secure for our portfolio long-term resources from new or existing facilities to meet our wintertime peaks in customer demand.”

In its filing with the UTC, PSE asks state regulators for expedited review of the draft RFP and commission approval for PSE to issue a final RFP by early October. The deadline for submittal of supply offers would follow one month later.

A revised assessment of PSE’s portfolio needs and peak customer power requirements is expected to demonstrate a need for approximately 500 megawatts of capacity by the end of 2012.  “An expedited RFP process will give the utility additional time both to evaluate the proposals we receive and to negotiate contracts in a timely manner,” Markell said.

Markell added that PSE “is seeking to harvest for our customers some of the price benefits we see in the wholesale market resulting from abundant renewable power supplies, low natural gas prices and weak consumer demand. We believe a somewhat accelerated entry into the markets may enhance our opportunities to secure attractively priced resources for our customers.”

The utility plans to hold a workshop for prospective RFP proposers on Aug. 16 at PSE headquarters in Bellevue. Interested parties can register for the meeting by sending an email to Janice Brown at: janice.brown@pse.com.

More information on the draft RFP, including the document’s full text and proposed schedule, can be found on the Acquiring Energy pages of PSE.com at PSE.com/RFP.

About Puget Sound Energy

Washington state’s oldest local energy utility, Puget Sound Energy serves more than 1 million electric customers and 750,000 natural gas customers in 11 counties. A subsidiary of Puget Energy, PSE meets the energy needs of its customer base through incremental, cost-effective energy efficiency, procurement of sustainable energy resources, and far-sighted investment in the energy-delivery infrastructure. PSE employees are dedicated to providing great customer service and delivering energy that is safe, reliable, reasonably priced, and environmentally responsible For more information, visit www.PSE.com.

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