LOS ANGELES, Nov. 22, 2002 - Southern California Gas Co. (The Gas Company) will present Sutton Place Hotels on Monday with a $500,000 incentive check for its installation of a $1.6 million gas-fired cogeneration system that provides all of its electric supplies.
The upscale 435-room hotel qualified for the award by participating in the state-wide Self Generation Incentive Program, which provides financial incentives to businesses for on-site electric generation.
"The Self-Generation Incentive Program made the difference in our investment decision," said Charles Woo, president of Sutton Place Grande Hotels Group. "Our guests will benefit from our reliable source of electricity, an environmentally friendly technology, and an annual reduction of at least $300,000 in our total energy costs."
The California Public Utilities Commission (CPUC) launched the program last year in response to California's electricity crisis. The program provides qualifying businesses with incentives of up to 50 percent of the costs of purchasing and installing electricity generation systems.
"The Gas Company expects to award up to $54 million in incentives over the next three years to its business customers through this program," said Richard M. Morrow, vice president of customer service for major markets for Sempra Energy Utilities (The Gas Company and San Diego Gas & Electric). "This program helps maintain a competitive regional economy by making the purchase and installation of eligible technologies more affordable than ever."
As part of its commitment to exceptional customer service, The Gas Company supports this program through marketing, customer assistance and other administration activities throughout its service territory, which covers almost all of Southern California, Morrow added.
The Self-Generation Incentive Program offers the following incentives:
- $4.50 per watt (not to exceed half of the total project cost) for using photovoltaic, wind turbines and fuel cells operating on renewable fuel;
$2.50 per watt (not to exceed 40 percent of the total project cost) for fuel cells operating on non-renewable fuels; and
$1 per watt (not to exceed 30 percent of the total project cost) for microturbines and internal combustion engines.
The Gas Company expects participating customers to develop a total of 50 to 60 megawatts of base load generation power -- about the same capacity available from a small power plant.
For more information on the Self-Generation Incentive Program, customers can visit The Gas Company's Web site at www.socalgas.com/business/selfgen.
The Gas Company is the nation's largest natural gas distribution utility, providing safe and reliable energy service to 18 million consumers through 5.1 million meters. The company's service territory encompasses 23,000 square miles in most of central and Southern California. Exceptional customer service is a priority of The Gas Company as it seeks to enhance the region's quality of life. The Gas Company is part of Sempra Energy Utilities, the umbrella for Sempra Energy's regulated business units. Sempra Energy (NYSE: SRE) is a Fortune 500 energy services holding company based in San Diego.