MADISON, Wis., April 13 /PRNewswire-FirstCall/ — Wisconsin Power and Light Company (WP&L), a subsidiary of Alliant Energy Corporation (NYSE:LNT) , today filed a Certificate of Authority (CA) application with the Public Service Commission of Wisconsin (PSCW) to purchase the Neenah Generating Facility, an existing 300 megawatt (MW) simple cycle gas-fired electric generating facility located in Neenah, Wisconsin. This purchase is intended to replace the output currently under a purchased power agreement with Calpine’s RockGen Facility.
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“Last year, WP&L issued a request for proposals to meet our customers’ long-term peaking power needs,” said Barbara Swan, President of WP&L. “We found that the purchase of the Neenah Generating Facility was the lowest cost option for our customers.” Since the facility began commercial operation in May of 2000, Neenah Generating Facility has compiled an impressive operating record.
The Neenah Generating Facility is currently owned by Alliant Energy Resources (AER), a non-regulated affiliate of WP&L. WP&L plans to purchase the facility for the net book value of the plant, which is expected to be approximately $94 million. The purchase is expected to occur in 2008.
Peaking power units are traditionally gas-fired combustion turbines that are utilized to meet customer’s needs for electricity on hot summer days when demand is highest. This type of combustion turbine can be started and shut down more quickly than coal-based units, thus affording more flexibility and making this an excellent resource for responding to peak demands.
Alliant Energy is an energy-services provider with subsidiaries serving approximately 1 million electric and over 420,000 natural gas customers. Providing its customers in the Midwest with regulated electric and natural gas service is the company’s primary focus. Wisconsin Power and Light, the company’s Wisconsin utility subsidiary, serves 456,000 electric and 182,000 natural gas customers. Alliant Energy, headquartered in Madison, Wis., is a Fortune 1000 company traded on the New York Stock Exchange under the symbol LNT. For more information, visit the company’s Web site at http://www.alliantenergy.com/.
This press release includes forward-looking statements. These forward-looking statements can be identified as such because the statements include words such as “intended,” “plans” or other words of similar import. Such statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those currently anticipated. Actual results could be affected by such factors as: state regulatory actions which delay, prevent or alter the proposed terms of the purchase, including inability to obtain all necessary approvals; unanticipated issues related to the Calpine bankruptcy; and economic conditions in WP&L’s service territory. These factors should be considered when evaluating the forward- looking statements and undue reliance should not be placed on such statements. The forward- looking statements included herein are made as of the date hereof and Alliant Energy and WP&L undertake no obligation to update publicly such statements to reflect subsequent events or circumstances.
