PSEG Power Seeking FERC Approval of Reliability Contracts for Two Connecticut Units
2004年11月18日 - 4:36AM
PRニュース・ワイアー (英語)
PSEG Power Seeking FERC Approval of Reliability Contracts for Two
Connecticut Units Cost-of-Service Contracts Designed to Support
Availability of Units Until Capacity Markets Are Implemented in New
England NEWARK, N.J., Nov. 17 /PRNewswire-FirstCall/ -- PSEG Power
Connecticut, a subsidiary of PSEG Power, today asked the Federal
Energy Regulatory Commission (FERC) to approve cost-of-service
contracts for two oil-fired Connecticut electric generating units
-- the 158-megawatt (MW) Unit 2 at Bridgeport Harbor Generating
Station in Bridgeport and the 455 MW New Haven Harbor plant in New
Haven. The New England Independent System Operator (NE ISO) has
determined that continued availability of both units is required to
maintain electric system reliability in the region. PSEG Power said
additional revenues from the cost-of-service contracts, usually
referred to as Reliability Must Run, or "RMR" contracts, are
necessary to meet ongoing operating and maintenance costs
associated with keeping the units available to meet Southwest
Connecticut's electric capacity requirements. PSEG Power President
Frank Cassidy said, "The best and most efficient way to ensure that
Connecticut and the region have adequate electric generating
resources is through fully competitive wholesale markets that
reflect the real value of electric generating capacity. We were
disappointed when FERC delayed this summer's scheduled
implementation of a Locational Installed Capacity (LICAP) market in
New England. Our expectation is that RMR payments for these two
units will end when capacity markets are up and running in the
region served by the New England ISO." Implementation of LICAP
markets is now scheduled for January, 2006. PSEG Power said that
RMR payments it is seeking for both affected units would result in
$66.4 million in gross revenue on an annualized basis. This amount
could be reduced by sales of energy at prices higher than the cost
of service rates. The company has requested that cost of service
rates be put into effect on an interim basis pending FERC's review
and approval. Bridgeport Harbor station's Unit 2 went into service
in 1961. The New Haven Harbor Station became operational in 1975.
PSEG Power is a subsidiary of Public Service Enterprise Group
Incorporated (PSEG), a diversified energy holding company. PSEG's
(PEG/NYSE) other primary subsidiaries are Public Service Electric
and Gas Company (PSE&G), New Jersey's oldest and largest
electric and gas distribution utility company, and PSEG Energy
Holdings, a holding company for other unregulated businesses. PSEG
and PSEG Power have their headquarters in Newark, NJ.
FORWARD-LOOKING STATEMENT Readers are cautioned that statements
contained in this press release about our and our subsidiaries'
future performance, including future revenues, earnings,
strategies, prospects and all other statements that are not purely
historical, are forward-looking statements for purposes of the safe
harbor provisions under The Private Securities Litigation Reform
Act of 1995. Although we believe that our expectations are based on
reasonable assumptions, we can give no assurance they will be
achieved. The results or events predicted in these statements may
differ materially from actual results or events. Factors which
could cause results or events to differ from current expectations
include, among other things: the effects of weather; the
performance of generating units and transmission systems; the
availability and prices for oil, gas, coal, nuclear fuel, capacity
and electricity; changes in the markets for electricity and other
energy-related commodities; changes in the number of participants
and the risk profile of such participants in the energy marketing
and trading business; the effectiveness of our risk management and
internal controls systems; the effects of regulatory decisions and
changes in law; changes in competition in the markets we serve; the
ability to recover regulatory assets and other potential stranded
costs; the outcomes of litigation and regulatory proceedings or
inquiries; the timing and success of efforts to develop domestic
and international power projects; conditions of the capital markets
and equity markets; advances in technology; changes in accounting
standards; changes in interest rates and in financial and foreign
currency markets generally; the economic and political climate and
growth in the areas in which we conduct our activities; and changes
in corporate strategies. For further information, please refer to
our Annual Report on Form 10-K and subsequent reports on Form 10-Q
and Form 8-K filed with the Securities and Exchange Commission.
These documents address in further detail our business, industry
issues and other factors that could cause actual results to differ
materially from those indicated in this release. In addition, any
forward-looking statements included herein represent our estimates
only as of today and should not be relied upon as representing our
estimates as of any subsequent date. While we may elect to update
forward-looking statements from time to time, we specifically
disclaim any obligation to do so, even if our estimates change,
unless otherwise required by applicable securities laws.
DATASOURCE: PSEG Power CONTACT: Neil Brown of PSEG,
+1-973-430-6017, or +1-201-519-4323 Web site: http://www.pseg.com/
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