Energy crunch bringing new business to Philadelphia.

With rolling blackouts wreaking havoc on California businesses, growing companies across the country have moved energy supply to the top of their list of criteria for selecting new corporate locations. Regions like Greater Philadelphia, an early adopter of deregulation with an ample power supply, stand to gain from this new trend, said Bill Stallkamp, managing director of Bellwether Technology Partnership.

"In the wake of California's energy crisis, which produced costly disruptions in service, skyrocketing prices and the threat of electricity rationing, energy has become an increasing concern for companies looking to locate or expand," said Stallkamp. "As a result, areas such as Greater Philadelphia, which have prospered under deregulation, are beginning to look more and more attractive as business locations."

Unlike California, the Greater Philadelphia region has benefited from a deregulated, reliable, regional market that has successfully matched supply with demand. A net exporter of electricity, the region currently has more than 30 percent excess capacity, according to PECO Energy, a Pennsylvania utility, which also provides an array of economic development services. In addition, there are 150 new power plant projects planned for the region over the next five years, projected to increase the electrical capacity more than 70 percent, according to PJM Interconnection, an electric transmission grid that that now serves as a wholesale electric market for Eastern Pennsylvania and nearby states. Prices have also remained steady -- a result of a large market that encourages a high number of market participants and forces power producers to keep rates competitive. PJM projects that consumers have already saved more than $3 billion in Pennsylvania by paying prices for electric power that are 4.5 percent below the natio nal average.

Greater Philadelphia, comprised of the City of Philadelphia and its suburbs extending from Wilmington, DE to Princeton, NJ, has emerged as a formidable technology region. It has one of the highest concentrations of academic institutions in the country, including a number of colleges and universities.

It is the headquarters of some of the world's leading technology companies, in a variety of fields including life sciences, information technology, and e-business. It is a highly ranked center of research and development and home to numerous successful venture capital firms. Greater Philadelphia boasts an outstanding quality of life, characterized by its historical and cultural attractions, its vibrant Center City and its unique suburbs. At the same time, it has one of the lowest costs of living and doing business of any area its size.