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Unique program challenges customers to reduce energy use
Fergus Falls, MN - January 9, 2008 Imagine all of the residents of a small rural community working together to reduce the electrical use of their entire town. That’s what Otter Tail Power Company envisioned when it designed its Minnesota Conservation Improvement Program (CIP) for 2009 and 2010. Approved by the Minnesota Office of Energy Security in November, the plan includes large pilot projects for retrofitting one community and one college. “To our knowledge, nothing like this has ever been done,” said Kim Pederson, Otter Tail Power Company’s manager, market planning. “It’s a unique way to help people understand that the energy choices they make and the technologies they use impact everyone. We’re facing serious energy challenges and it will take teamwork to solve them.” Both projects will focus on energy efficiency improvements, plug load reductions (plug loads draw energy even when they aren’t in use, such as computers, TVs, and chargers), education, research, and energy reductions through energy lifestyle modifications. “We’ve developed criteria for screening communities and colleges that might be a good fit for the pilot projects,” said Pederson. A team will finalize the selections and announce the winning community and college in 2009 and complete the retrofit and education in 2010. “What makes these two projects so exciting is the role that young people will play,” said Pederson. “In both instances the success of the project will rely on the enthusiasm and influence of students.” Minnesota’s Next Generation Energy Act of 2005 calls on utility customers to reduce electrical use significantly beginning in 2010. Accordingly, Otter Tail Power Company’s 2009-2010 CIP was designed to help customers achieve the most aggressive energy-efficiency goals the company has ever set. In addition to the large pilot projects, the company’s CIP offers individual homeowners and businesses many options, including increased rebates for efficient products such as residential demand control, air-source and geothermal heat pumps, lighting, commercial refrigeration and cooking equipment, and premium-efficiency motors. “Our increased commitment to reducing energy use only can be achieved through customer willingness to invest in technologies that will help lower their energy use and decrease their electric bills,” Pederson said. All utilities in Minnesota are subject to a 1.5 percent energy-savings goal that takes effect in 2010, which means that utilities must develop and implement plans to help their customers reduce the utilities’ energy sales by 1.5 percent annually. “If successful, our 2009 plan should achieve annual energy savings of more than 19,000,000 kilowatt-hours, which is the equivalent energy use of approximately 1,500 average residential homes,” said Pederson. Otter Tail Power Company’s 2009-2010 plan was one of the first CIP utility programs reflecting this goal to be approved by state regulatory agencies. The goal represents a substantial increase in the company’s long commitment to energy efficiency. “Our Minnesota CIP underscores our commitment to delivering electricity reliably and economically with a balanced mix of resources,” Pederson said. “Conservation through energy efficiency and demand-side management, renewable energy, and coal technologies all are important elements in that balance.” Otter Tail Power Company, a division of Otter Tail Corporation (NASDAQ Global Select Market: OTTR), is headquartered in Fergus Falls, Minnesota. It provides electricity and energy services to more than a quarter million people in Minnesota, North Dakota, and South Dakota. To learn more about Otter Tail Power Company visit www.otpco.com. To learn more about Otter Tail Corporation visit www.ottertail.com.-30-
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Media contact
- Cris Kling
- Director, Public Relations
- During business hours: 218-739-8297
- After business hours: 218-842-5579
- ckling@otpco.com
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