---
title: New York Ski Area Reduces Supply Costs Through Competition
description: See how NextEra Advisors used competitive bidding to help a New York ski area cut energy costs, secure price stability, and save $500K on electricity.
image: https://www.nexteraadvisors.com/hubfs/NextEra%20Advisors/Resource%20Center/Case%20Studies/New%20York%20Ski.jpg
---

# New York Ski Area Reduces Supply Costs Through Competition

![Snowmaking machine spraying snow on a ski slope with empty chairlift chairs overhead.](https://www.nexteraadvisors.com/hs-fs/hubfs/NextEra%20Advisors/Resource%20Center/Case%20Studies/New%20York%20Ski.jpg?width=600&height=340&name=New%20York%20Ski.jpg)

Industry

Ski

Challenge

A large New York ski area relied on sole‑source electricity pricing and faced rising winter energy costs, making supply budgeting difficult ahead of peak snowmaking season.

Result

NextEra Advisors ran a competitive RFP that reduced supply rates by 22%, delivering $125K in annual savings and $500K over a four‑year contract.

Product

RFP, Energy Procurement

$125k

annual savings compared to original offer*

$500k

contract term savings compared to original offer*

22%

reduction in costs due to competition

## Challenge

A large ski area in New York approached NextEra Advisors to run a request for proposal process for their electric load. They had previously been provided pricing directly from their supplier and were interested in finding out the value that a competitive process would bring. With an estimated annual electric supply spend of $600,000 for their eight million kWh of electricity, the managing and forecasting of supply costs are a high priority when budgeting. Ski areas’ energy loads are typically winter-heavy with minimal usage during the off season. With the ski area being on a roll-over rate, as their prior contract had lapsed, NextEra Advisors  wanted to get them into a new supply contract before they turned on their snow guns. Using our proprietary bidding platform, NextEra Advisors  issued a request for proposal to our supplier network.

## Solution

Having received responses from numerous suppliers, NextEra Advisors  determined that a fully fixed product was best for the ski area. The product allowed for the mountain manager to manufacture snow without having to worry about hourly price spikes. This brought about budget stability in what could have been a volatile market. To take full advantage of the state’s community solar program and cut down on the number of invoices, a utility billed product was advised over dual billing.

## Result

By issuing a request for proposal, suppliers responded back with their best and final offer, knowing that there is zero tolerance for a game of back and forth when it comes to price. Through this process the incumbent supplier that had previously provided pricing for the ski area reduced their offering by two cents per kilowatt hour, resulting in an annual savings of $125,000. Contracted for a four-year term, the mountain will save $500,000 through competition as opposed to sole sourcing of electricity. This savings accounts for a 22% reduction in costs when compared to the original sole source offer.

*Savings may vary.

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