Price Stability for Natural Gas

Natural gas price increases over the past two years have made it almost impossible for school districts to forecast their budget requirements for this critical service. But the natural gas price roller coaster ride is over for more than 250 school districts that have joined the new Alliance for Competitive Energy Services (ACES) natural gas buying program.

ACES has awarded a contract to Amerada Hess Corporation to provide natural gas service to member school districts at fixed rates that will provide budget certainty for a two-year period. Amerada Hess will begin serving districts included in the natural gas bid in June.

ACES is an energy purchasing program formed in 1999 by NJSBA, the New Jersey Association of School Business Officials (NJASBO), and the New Jersey Association of School Administrators (NJASA). The ACES electric buying program has been saving New Jersey School Districts money since 2000.

Rigorous Process ACES accepted Amerada Hess’s bid following a rigorous request for bids (RFB) process that permitted it to accept bids electronically and quickly lock in advantageous pricing for school districts. The New Jersey Department of Community Affairs reviewed and approved the electronic RFB process.

During the next 12 months, ACES will issue new RFBs to procure natural gas supply periodically to allow participation in the ACES natural gas procurement program by new member districts and districts with existing natural gas supply contracts that will come to an end between now and May 2007.

For additional information or to join ACES, contact Carol Friedman, ACES Coordinator, Gabel Associates, at (732) 296-0770 or by e-mail.