AUSTIN, Texas, Aug. 28 /PRNewswire/ -- Cities Aggregation Power Project
(CAPP) has announced that Addison, Carrollton, Eastland and Highland Park
have become the first Texas cities with populations less than 120,000 to
authorize the purchase of Renewable Energy Credits (RECs) using a program
created by the statewide electricity aggregator for municipal governments.
Carrollton, with 116,500 residents, is the largest city in the
deregulated market to authorize purchase of RECs, while Eastland, with
3,900 residents, is the smallest Texas city to do so. Addison has 13,800
residents and Highland Park has 8,900 residents.
"As a small town, we have relied on CAPP's attorneys and energy experts
for a wide range of electricity market issues," says Addison Mayor Joe
Chow. "CAPP's Renewable Energy Credit program gives us the opportunity to
support sustainability initiatives through a state-administered program in
which we otherwise wouldn't be able to participate. I feel confident that
our constituents will be proud of this action on their behalf."
Austin, Brownsville and El Paso -- which aren't in the deregulated
market -- are the only other Texas cities that have purchased RECs since
the state initiated its REC program in 2000, according to reviews of
Electric Reliability Council of Texas (ERCOT) filings. The credits --
stock-like certificates sold by brokers -- correspond to actual megawatts
of electricity. They provide renewable energy generators with additional
sources of revenue.
Texas also requires that competitive electricity providers purchase
RECs annually as a way of ensuring demand for renewable energy and to fund
construction of such projects. No similar requirement exists for cities:
Addison, Carrollton, Eastland and Highland Park made their recent
CAPP initiated the REC purchase program in August at the request of its
members, 101 Texas cities representing more than three million Texans.
"Even though most of the Cities Aggregation Power Project member cities
are outside the state's major population centers, they understand everyone
needs to help Texas encourage sustainable, pollution-free energy sources,
especially in the deregulated areas of the state," said Jay Doegey,
chairman of CAPP. "Through CAPP's expertise with Texas electricity markets
and its new program enabling purchase of renewable energy credits, small
and medium Texas cities now have a way of investing in the future of
Doegey says he expects more member cities to purchase Renewable Energy
Credits (RECs) through CAPP.
"We have listened and responded to our members' desire for programs
that demonstrate energy stewardship," Doegey said. "Addison, Carrollton,
Eastland and Highland Park are the first to take part in the program, and
we expect many other Texas cities will follow their lead."
ABOUT CITIES AGGREGATION POWER PROJECT
CAPP is a non-profit group created in 2001 that pools Texas cities'
electric power needs in order to negotiate lower, more stable prices
through bulk purchasing. CAPP has some 101 city members that purchase 900
million kWh annually. CAPP member cities are able to create better, more
fiscally responsible budgets because of the stable and predictable energy
costs available to CAPP members. CAPP is run by a voluntary 9-person CAPP
Board of Directors, made up of city employees and city officials, which
meet once a month.
Contact: Marla Mathews
SOURCE Cities Aggregation Power Project