Marriott Picks Constellation to Supply Electricity in Arizona

In early 2012, a rate case settlement with Arizona Public Service Company (APS) established a new program that permits eight large customers in the APS service territory – chosen through a lottery – to select an alternate supplier of electricity in lieu of APS’s standard service.

Customers participating in the program must have a minimum peak load of 10 MW, and the overall size of the program is capped at 200 MW of peak load.

The settlement was signed by APS, Arizona Corporation Commission Utilities Division Staff, the Residential Utility Consumer Office, Noble Americas Energy Solutions, Constellation NewEnergy, Direct Energy, Shell Energy North America, AARP, Kroger, Walmart and other parties, according to Energy Choice Matters.

Now, Constellation has announced it will provide electricity to Marriott in Arizona. While savings will vary based on customer usage and contract terms, Marriott expects to save about 10 percent when compared to APS standard service rates. Marriott began taking service under this program on Dec. 1.

To initiate the service, Constellation has executed a trilateral wholesale supply agreement with Marriott and APS, which will be administered by the company’s Constellation NewEnergy and Constellation Energy Commodities Group subsidiaries.

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