Colorado Springs Utilities is making money from the heat wave gripping the southwestern United States.
The utilities company sold $372,100 in electricity Monday through Thursday this week to other utilities that are having trouble keeping up with the demand that comes from higher temperatures.
Net margin – revenue over costs – can range from 5 to 25 percent of total sales, dpending on market prices and fuel costs. That revenue goes directly to offset the utility’s costs for coal and natural gas, reducing the need for future increases for local customers, said Dave Grossman, corporate communications for the utilities company.
Recent wholesale power customers include Black Hills Energy, Xcel Energy, Tri-State, Municipal Energy Agency of Nebraska, Tucson Electric and Public Service Company of New Mexico.