APS completes first transactions on western regional Energy Imbalance Market
“Participating in a market that enables APS to buy and sell power closer to when electricity is consumed will result in meaningful economic savings to customers through lower production costs and better integration of renewable resources like solar,” APS Vice President of Resource Management Tammy McLeod said. “We are always looking for ways to operate more efficiently and cost-effectively and we believe the EIM provides us that opportunity.”
APS primarily relies on its own power plants to supply customers with power, but can use the EIM to respond to renewable energy production and more efficiently buy power. The company believes the market place could save its customers between $7 million and $18 million each year by allowing it to purchase energy in increments as small as five minutes, as opposed to hour-ahead trading typical of other markets.
“Any proven technology that allows us to be innovative and flexible in the way we power our customers’ lives -- while cutting costs -- is important to Arizona’s energy future,” McLeod said. “Our decision to participate in the EIM is another example of how we’re providing our customers with a cleaner, stronger and smarter system to meet their changing energy needs.”