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In 1999, I co-founded a company called Celerity Energy, based in
Portland, Oregon. That company's mission was to provide demand response
capacity to electric utilities, power marketers, and electric power users.
Celerity went on to become California's largest demand response provider,
with more demand response capacity under management than any other California
Demand Reserves Partnership (DRP) provider. In May 2006, I decided to sell
Celerity to EnerNOC, the national demand response firm that had grown more
rapidly than any other and whose team shared the same passion and principles
that had guided Celerity from the start.
There is much to tell our customers, trade partners, and friends about
how we made this decision, and why this combination makes so much sense. Let
me start from the beginning.
Celerity Roadmap
From the start, Celerity grew its business by focusing on providing the
highest level of service for its customers. We recognized early on that we could
not provide every solution to every energy problem of every customer, so we focused
on being their best resource for a targeted need, and evolved our offering over time.
We originally specialized in maximizing the value and improving the environmental
impacts of our customers’ standby generators for use in demand response
programs. The strategy paid off, and over time we became recognized as a well-respected
provider in our target geographies.
Demand response was emerging as an important element of effective grid management.
We examined others successfully doing what we were doing to determine whether there
was a way to achieve a collective market presence in this evolving arena. We began
collaborating with others who shared our passion for establishing demand response
in the thinking and plans of utilities, ISO's, and wholesale markets. One of those
companies was EnerNOC.
Building the Demand Response Market
Celerity and EnerNOC operated in a similar area and, although we found ourselves
competing, more interestingly, we were cooperating in key market transformation
activities. The organizations seemed to work together naturally. The more we
collaborated, the more we realized that our complementary capabilities were
delivering better results for our utility and end-use customers faster and more
efficiently than either could achieve individually.
Committed to customer-focused energy management and building on a foundation
of demand response, Celerity and EnerNOC independently expanded to offer end-use
customers more services to address their evolving energy needs. Based on the knowledge
gained from managing the electricity consumption of these customers in demand response
markets, Celerity was confident we could deliver compelling energy savings if we had a
broader array of solutions to offer. EnerNOC, with its strong financial resources and
recent acquisition of eBidenergy's PowerTrak® energy management platform, was
uniquely equipped to realize the fullest potential of Celerity's advantageous
position in this emerging and exciting market.
Total Energy Management for End-Use Customers
The fusion of Celerity and EnerNOC positions the combined organization to better
achieve our shared goal of bringing our customers Total Energy Management. We have the
elements necessary to make this successful; we can see the pieces come together, all
built on our commitment to excellence in execution. That is what excited me about moving
in this direction. Energy end-users deserve the market's best solutions.
Total Energy Management builds on our leadership position in demand response to
enable commercial, institutional, and industrial companies across the US to proactively
manage their energy use and reduce costs. These end-users increasingly view proactive
energy management as a competitive necessity, and want trusted partners with integrity
and proven expertise, given today's complex and rapidly evolving energy marketplace.
Energy management can be a mysterious function for end-use customers, but successful,
focused organizations understand that good management of the energy cost center can
enhance their core business – just as long as it's not a distraction.
Well-managed companies also understand that electricity is a production input, a
"raw material" that is consumed in creating products and services. Simply
put, electric demand is a resource from which a company can derive material benefit by
simply reducing losses. If energy can be used more efficiently and/or used at times when
it is less expensive, significant cost savings can be realized which flow directly to
the bottom line.
Businesses value the economic benefits of energy savings, but don't necessarily
have the bandwidth to process all the details that can drive those savings. They need
help. Customers look for a knowledgeable and experienced partner who can give
assurance that savings can be achieved unobtrusively. They want a trusted provider
who applies initiatives that deliver bottom line benefits. They want a partner that
understands the energy and utility landscape that crosses more than 3,000 utilities
in the US and countless more regulatory organizations. They want a strategist with
technical capabilities to help them push energy management efficiencies as well as
they drive their own general and operational management. They need a full-service,
total energy management solutions provider.
Positioned for Success
EnerNOC, with its culture of excellence, passion for energy management, and
sincere commitment to service delivery, is that trusted partner, strategist, and
provider. EnerNOC has made a long term commitment to demand response, Total Energy
Management (TEM), and advanced technology for conservation. EnerNOC's TEM team
stands ready with the technical capabilities and professional qualifications to
apply the best energy management and conservation strategies in the market today,
and our customers are reaping the benefits.
I am excited by the combination of EnerNOC and Celerity. Our customers and the
market should be excited, too.
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