HOUSTON, Aug. 28, 2008 (GLOBE NEWSWIRE) -- CenterPoint Energy, Inc.'s (NYSE:CNP) electric transmission and distribution subsidiary, CenterPoint Energy Houston Electric, today received Public Utility Commission of Texas (PUC) approval of an agreement to install 125,000 advanced meters, related communication equipment and back office systems as requested and funded by retail electric providers (REPs). Installations requested by REPs for residential customers could begin in early September and would continue through August 2009, or until 125,000 advanced meters have been installed. This agreement will supplement the Advanced Metering System (AMS) deployment plan filed by CenterPoint Energy in May of this year that remains under review at the PUC.
"We're pleased that the Commission has approved the installation of this equipment while they consider our AMS deployment plan," said Tom Standish, group president of Regulated Operations for CenterPoint Energy. "We'd like to thank the various stakeholders for working to find an equitable and creative solution. This is a first step in what we hope will be the deployment of more than 2 million meters in our service territory."
REPs that participate in this voluntary program will determine customer eligibility and the terms of service offerings that they will make available. Participating REPs will have the opportunity to evaluate market response prior to a broader CenterPoint Energy AMS deployment. CenterPoint Energy will subsequently reimburse the amounts advanced by REPs to the extent the equipment is used in the company's AMS deployment and the costs are recovered, either through a surcharge or through base rates.
The new metering technology is the first step in moving the electric grid into the digital age and should encourage greater energy conservation by giving Houston-area electric consumers the ability to better monitor and manage their electric use and cost in near real-time. CenterPoint Energy has conducted extensive testing and has seen positive results from advanced metering technology through an advanced meter pilot program that began in late 2006.
Although CenterPoint Energy does not send electric bills to end-use customers, the company is responsible for meter reading and maintaining service reliability to two million electric customers in the Houston area. The meters will not only automate meter reading, but also electric service connection and disconnection, which should significantly reduce the time required for customers to have new electric service connected or to switch REPs.
CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution, competitive natural gas sales and services, interstate pipelines and field services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma and Texas. Assets total over $18 billion. With about 8,600 employees, CenterPoint Energy and its predecessor companies have been in business for more than 130 years. For more information, visit the Web site at www.CenterPointEnergy.com.
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This news release includes forward-looking statements. Actual events and results may differ materially from those projected. The statements in this news release regarding future financial performance and results of operations and other statements that are not historical facts are forward-looking statements. Factors that could affect actual results include the timing and outcome of appeals from the true-up proceedings, the timing and impact of future regulatory, legislative and IRS decisions, effects of competition, weather variations, changes in CenterPoint Energy's or its subsidiaries' business plans, financial market conditions, the timing and extent of changes in commodity prices, particularly natural gas, the impact of unplanned facility outages, and other factors discussed in CenterPoint Energy's and its subsidiaries' Form 10-Ks for the period ended December 31, 2007, and Form 10-Qs for the period ended June 30, 2008, and other filings with the Securities and Exchange Commission.