CSG Helps LIPA Reduce Demand w/Energy Efficiency

CSGServices, Inc. today announced an energy efficiency program for Long Island, N.Y. that will produce 17.5 megawatts (MW) of power from energy efficiency measures.

WESTBOROUGH, Mass., July 20, 2004 - CSGServices, Inc. today announced an energy efficiency program for Long Island, N.Y. that will produce 17.5 megawatts (MW) of power from energy efficiency measures. The program, to be implemented by CSGServices (CSGS), will deliver nearly 24 percent of the efficiency measures that the Long Island Power Authority (LIPA) is seeking to reduce electricity use and enhance reliability for the utility over the next 10 years. This program for LIPA comes on the heels of a four-MW contract awarded to CSGS in April to implement an energy efficiency program for New England's Independent System Operator (ISO-NE). These projects demonstrate the importance of energy efficiency and conservation in improving the reliability of regional power systems.

According to Stephen Cowell, CEO of CSGS, rising temperatures and the imminent anniversary of the biggest blackout in North American history, should certainly raise public consciousness about power usage this summer. He said, "As part of a diversified energy portfolio, conservation and efficiency can make a major contribution to enhancing system reliability, particularly during periods of peak demand. We hope that the pioneering new approaches of LIPA and ISO-NE will pave the way for other groups to utilize cost effective, environmentally sound solutions for managing power. We are proud to be working with these visionary organizations and hope that more take their lead in helping to secure a more stable energy future."

CSGS, one of several vendors chosen by LIPA for efficiency measures, will deliver the largest portion of the energy efficiency contract. LIPA's energy resource plan aims to achieve up to 73 MW of energy and capacity savings through long-term energy efficiency programs. CSGS will be providing almost 24 percent of the reductions through retrofitting buildings with energy efficient lighting, heating and ventilation systems, appliances and refrigeration systems. CSGS is targeting mid to large-sized buildings including multi-family housing projects, schools, warehouses and commercial facilities. CSGS will be offering incentives to building owners for installing conservation measures and expects to begin work this fall, pending final agreements with LIPA. The project is scheduled to continue through Dec. 2007.

In addition to securing CSGS as one of six "energy efficiency" contractors, LIPA has signed several other firms to reduce load through demand response and load management programs, as well as renewable energy technologies.

LIPA Chairman Richard Kessel, said, " Through these new contracts, we are expanding efforts to stretch our energy supply resources with a wide range of conservation and energy efficiency initiatives. At the same time, these strategies can help businesses on Long Island to remain competitive by reducing energy costs. We chose CSGS as one of our vendors because of the company's proven track record of delivering significant energy savings to businesses and consumers. We are confident they will help meet the region's ever growing demand for electricity."

CSGServices, Inc., headquartered in Westborough, Mass., provides energy-saving strategies, services and technologies to consumers and businesses nationwide. The company is an affiliate of Conservation Services Group.

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