This contract, the largest such comprehensive state program to date in PJM, further validates the Companys high-growth business model that targets a $12 billion segment of the demand response marketplace in 20 major U.S.
The new agreement also rapidly increases EnergyConnects total participant peak electricity load involved in demand response by more than 500 megawatts, including major government and educational institutions.
Being selected as the provider of demand response services for this state is a major win for Microfield and a clear testament to the competitive strength of EnergyConnects innovative technology and products, said Rodney M. Boucher, Chief Executive Officer of Microfield Group. We are gratified to receive this independent verification of our EnergyConnect programs as best-of-breed in the national demand response sector of the alternative energy industry.
The new agreement raised the number of Building Equivalents (BE) by more than 100 during the third quarter of fiscal 2007. One BE is equal to approximately 1 million square feet of commercial space in a large building, a campus or an industrial site.
EnergyConnect has targeted an estimated 1500 BE for fiscal 2007 as a means to quantify the Companys future growth expectations.
Microfields EnergyConnect division ushers in a paradigm shift in the sector traditionally known as demand response. EnergyConnects real time auto-response technology allows participants to capitalize on hourly price fluctuations and daily commitments, as well as emergency response services to maintain grid stability. In addition to these previously untapped revenue streams, EnergyConnects industry leading technology allows the Company to meet the unique needs of each participant, resulting in a significantly larger target market with ample opportunities for growth.
The agreement announced today further enhances a year of growth marked by the substantial year over year increases in revenue for Microfields EnergyConnect products and services reported by the Company in 2007.