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Allegheny Energy announces Administrative Law Judges' recommendation against transmission line

Greensburg, PA, Aug. 27, 2008 -- Trans-Allegheny Interstate Line Co. (TrAILCo) announced that Administrative Law Judges have recommended that the Pennsylvania Public Utility Commission not authorize the construction of the Trans-Allegheny Interstate Line (TrAIL) in Pennsylvania.

The judges' decision is a recommendation only. TrAILCo is currently reviewing the recommended decision, and will provide comments to the commission as part of the regulatory process.

"We are extremely disappointed in this administrative recommendation, which runs counter to the evidence presented. PJM Interconnection, the independent regional organization responsible for transmission planning, determined that this line was necessary for the reliable supply of electricity to homes and businesses throughout the Mid-Atlantic region, and mandated its construction," said Paul J. Evanson, chairman, president and CEO of Allegheny Energy. "We intend to vigorously pursue construction of this line with the commission, particularly the one-mile section that is essential to regional reliability."

The judges' recommendation to the Commission pertains to both Pennsylvania segments of the proposed 500-kilovolt transmission line, including:

* A one-mile portion of the 502 Junction to Loudoun (Va.) line that Allegheny says is critical to the integrity of the electric grid for the entire Mid-Atlantic region; and
* A 36-mile segment from 502 Junction to a new substation in Washington County called Prexy that Allegheny says is necessary to provide reliable electric service to consumers in Southwestern Pennsylvania.

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