Chapel Hill Brokers Take Wall Street Approach In Selling Energy
Posted April 7, 2000 7:00 a.m. EDT
CHAPEL HILL — Brokers in Chapel Hill are selling energy just like they sell stocks and bonds on Wall Street.
Chapel Hill Brokerslinks buyers and sellers of wholesale electricity.
"You have a huge supply out there," says Brent Wilkins, President ofChapel Hill Broadband. "At the same time, you have a demand and that demand curve is the Internet. As the Internet keeps exploding, there's liquidity in the market and as these two forces join together, we're going to make the market more efficient."
The Chapel Hill Brokers' breakneck pace generates $60 million a day in energy sales.
"Every time we close a deal, both the buyer and the seller pay us a commission that can be very small to very large," says broker Tom Hahn.
They run all day to keep up with those commissions.
"Most of the deals I do are with another broker, and so then we split the commissions that we bring in," says broker Chris Brewer.
This kind of activity will soon sell the excess capacity of fiber-optic telecommunications making companies more efficient and perhaps lowering people's energy bills.
Chapel Hill Brokers was lured to the Triangle by the talent pool of business students graduating from UNC-Chapel Hill and Duke.