Hawaii Public Utilities Contracts SAIC for $38 Million

Science Applications International Corporation (NYSE: SAI) today announced it has been awarded a prime contract by the Hawaii Public Utilities Commission to become the Program Administrator for the Hawaii Energy Efficiency Program, helping Hawaii residents and businesses become more energy efficient. The single award, multi-year contract runs through December 31, 2013, but may be extended beyond 2013 for an additional three year period. The contract has a value for the first two years of $38 million.

Hawaii residents pay among the nation’s highest prices for electricity and fuel. The most oil-dependent of the 50 states, Hawaii relies on imported petroleum for about 90% of its primary energy. Most of this oil is from foreign nations, with a growing percentage from the Middle East, according to Hawaii’s Department of Business, Economic Development & Tourism.

“Improving and aggressively implementing energy efficiency programs are a top priority of the commission, the State, and of the entire country. The selection of SAIC is a historic milestone in our energy efficiency efforts,” said Carlito Caliboso, chairman of the Public Utilities Commission of the State of Hawaii.

Under the contract, SAIC will help Hawaii decrease the State’s dependence on foreign oil, make better use of renewable resources, and improve energy security by developing and implementing enhanced energy efficiency programs. SAIC will accomplish this by overseeing the entire rate-payer funded Hawaii Energy Efficiency Program, including: program design and implementation, customer incentives and rebates, new initiatives, and interface with the Hawaii Clean Energy Initiative. The program will be restricted to cost effective efficiency measures where customer bill savings exceed program costs in the long run. SAIC will also manage efforts concerning commercial, industrial, residential, and renewable energy programs. The contract officially transfers to SAIC responsibility for rate-payer funded energy efficiency programs currently operated by Hawaiian Electric Company and its island subsidiaries.

“This new framework for energy efficiency will bring about higher overall energy savings and improve the cost-effectiveness of administering energy efficiency programs,” said J.T. Grumski, SAIC senior vice president and business unit general manager. “It will also spur the introduction of innovative efficiency programs, and increase customer choice and participation in energy efficiency programs, helping residents of Hawaii save on their electricity bills.”

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