URC HASERS CONSORTIUM A Program of the Maine Municipal Bond Bank and the Maine Health and Higher Educational Facilities Authority MAINE HIGHER EDUCATIONAL AUTHORITY To: Jonathan Harvey, Vice President of Business Development World Energy CC: F. Catucci Robert O. Lenna, Director Maine Municipal Bond Bank From: Mary Lou Gallup, Program Of?cer Date: February 20, 2008 Re: Supplier RFP Award Thank you for your pro-active participation in our efforts to secure supplier services for our Electricity Program going forward. It has been a pleasure getting to know more about World Energy?s services. The Maine PowerOptions review of Proposals and the negotiating process regarding services and contract terms has been completed and an award for services has been made to Constellation NewEnergy. World Energy fell short in a few key areas that were identi?ed by the Institutional Advisory Council, staff and program consultant to be very important moving forward. Those important areas in which World Energy fell short include; strength of supply contract in protecting members, demonstrated strength of pricing in the Maine market, demonstrated commitment to the Maine market, ability to hold the most competitive pricing for multiple days, availability of utility based billing, optional online billing, online availability of usage data and an integrated load response program. The MP0 Institutional Advisory Council voted unanimously to move forward with Constellation NewEnergy for a three-year contract. I want to personally thank you for your efforts to work with MPO and to serve our members. 3 University Drive - no. Box 2268 - Augusta, Maine - 04338-2268 - (207) 621-0744 Fax (866) 618-1679 rs? "i . $0?1 ER- URCHASERS CONSORTIUM A Programof the Maine Municipal Bond Bank and the Main: Health and Higher Educational Authority EDUCATIONAL FACILITIES AUTHORITY To: Derek Howell, Director, Aggregations and Associations Direct Energy Services, LLC CC: A. Lussier, P. Ingraham Robert O. Lenna, Director Maine Municipal Bond Bank From: Mary Lou Gallup, Program Of?cer Date: February 20, 2008 Re: Supplier RFP Award Thank you for your pro-active participation in our efforts to secure supplier services for our Electricity Program going forward. It has been a pleasure getting to know more about Direct Energy Services and the strong competition and customer service Direct Energy provides. The Maine PowerOptions review of Proposals and the negotiating process regarding services and contract terms has been completed and an award for services has been made to Constellation NewEnergy. Direct Energy fell short in a few key areas that were identi?ed by the Institutional Advisory Council, staff and program consultant to be very important moving forward. Those important areas include bandwidth, holding pricing for multiple days, availability of utility based billing, optional online billing, online availability of usage data and an integrated load response program. Of these issues, bandwidth was the most problematic. The results of representative pricing tests were split fairly evenly between suppliers, however Direct Energy indicated that removing the bandwidth provision, or going beyond the 20% range would raise pricing, thus creating another negative in the evaluation process. Although minimal, there was additional concern regarding the commitment to Maine given that Direct Energy Services was not currently seeking customers in the Bangor Hydro Electric distribution area. The existing active commitment to Maine was a factor in evaluating all suppliers. Negotiations were conducted with three ?nal candidates including Direct Energy Services. The MPO Institutional Advisory Council voted unanimously to move forward with Constellation NewEnergy for a three-year contract. I want to personally thank you for your efforts to work with MPO and to serve our members. 3 University Drive 0 PO. Box 2268 0 Augusta, Maine 0 04338-2268 0 (207) 621-0744 0 Fax (866) 618-1679