Agency for Bay Management March 2008 Progress Energy Florida ● ● ● ● ● ● 1.7 million customers in 35 counties 650,000 customers in Tampa Bay area 14 power plant locations 5,000 miles of transmission lines 40,000 miles of distribution lines 4,300 employees Why do we need a new plant and lines? ● More people ◗ ◗ ● More energy use ◗ ◗ ● 4th largest state Fast-growing Homes are 50 % larger than in ’70s More electronics Future growth ◗ Demand will increase by 25% in 10 years How are we addressing growth? ● Balanced Approach ◗ State-of-the-art plants ◆ Investing $1 billion in emissions improvements at Crystal River Energy Complex ◗ Alternative energy ◆ Solar water heating ◆ SunSmart Schools ◆ Biomass ◗ Energy efficiency ◆ 39 new measures Proposed new nuclear plant New transmission lines needed ● ● ● ● Approx. 200 miles of transmission lines may be needed 10,000 landowners in 10 counties could be affected Map outlines areas being studied Will choose preferred corridors in June How is Florida addressing growth? Florida utilities: ● ● Expect to add net generating capacity of 16,632 MW over the next 10 years Plan to add 1,109 miles of transmission lines during the next 5 years, to cost about $1.7 billion This is a statewide issue 40% 2000 to 2005 Customer Growth (%) 35% 30% 25% 20% 15% 10% 5% 0% PEF Central FL Withloacoochee Sumter Why put new lines here? ● ● ● ● Bring power to population centers 650,000 customers in Tampa Bay area Existing transmission lines Over the past two decades, more than 600,000 homes and businesses have been added to Progress Energy’s system in Florida. How are corridors selected? Progress Energy’s criteria: ● ● ● ● ● Community Input Land use/real estate Minimize environmental and historical impact Safety and reliability Cost Community Criteria: ● ● ● ● ● ● ● ● Use existing lines or rights of way Cost Compatible with growth plans Coordinate public and agency participation Avoid environmental lands Safety Meet demand Easily approved What would the lines look like? Are we including the public? ● ● ● Provide Progress Energy input to assist with identifying possible transmission corridors Assist Progress Energy in identifying opportunities to educate and inform throughout the communities Discuss Progress Energy’s Balanced Solution and future plans and programs for providing for Florida’s future energy needs Public Involvement Process Community Leadership Team 6 community leaders Define issues & select participants 2012 Progress Energy begins transmission construction Utility Search Conference 38 community leaders representing many community interests Develop recommendations for transmission corridors Late 2008 Progress Energy begins rights of way acquisition Community Input Community Working Groups 23 community leaders Provide ongoing input to Progress Energy 2008 - 2012 Regulatory Approval Process Public Service Commission, Florida Department of Environmental Protection, Nuclear Regulatory Commission OPEN HOUSES MARION, LAKE, SUMTER • Approx 11,000 property owners ADDITIONAL MEETINGS • HOAs, community groups PROGRESS ENERGY prepares regulatory filings progress-energy.com/energyplanning Proposed Transmission Legislation Allows utilities to build lines in a way that has the least impact on the environment and our customers ● ● ● Provides clarity to the process Locate along some highways where possible Lines may cross state lands ◗ Going around state-owned lands can drive up price and create other impacts Planning & Construction Schedule Jan – Dec 2006 Jan 07 – June 08 June 08 – Dec 09 2008 - 2012 2012 - 2015 Plant Site Identification Transmission Planning Studies Regulatory Approval Process: PSC, DEP, Siting Board Right of Way Acquisition Transmission Construction Community Partnership for Energy Planning (Community Input) What’s next? ● Regulatory Approvals ◗ Public Service Commission ◆ “Needs ◗ case” filed March 2008 (6 months) Florida Department of Environmental Protection ◆ Site Certification Agreement to be filed in June 2008 (1 year for approval) ◗ Nuclear Regulatory Commission ◆ COL ● filed later in 2008 (3 years for approval) Siting and Construction ◗ ◗ ◗ Corridor Identification – June 2008 ROW acquisition 2008 to 2012 Construction 2012 to 2016 Contact Us www.progress-energy.com/energyplanning 1-888-238-0373 energyplanning@pgnmail.com