September 4, 2008

PSEG Finalizes New Haven Peaking Capacity Contract

PSEG Fossil has announced the finalization of a 30-year contract between its subsidiary, PSEG Power Connecticut, and the Connecticut Light and Power Company, pursuant to which PSEG Power Connecticut will add approximately 130MW of peaking generation to its New Haven power station in Connecticut, US.

The Public Service Enterprise Group (PSEG) project is one of three chosen by the Connecticut Department of Public Utility Control (DPUC) to help satisfy the state's growing demand for electricity during periods of maximum consumption. The contract calls for PSEG Fossil to install three dual-fueled units that will go in service on June 1, 2012.

PSEG Fossil operates 17 natural gas, coal, and oil-fired electric generating stations, including the New Haven Harbor generating station. PSEG's portfolio includes 2,600MW of peaking capacity.

The new units will use turbines similar to those that power jet airplanes to provide residents in Connecticut's constrained southwestern region with the cleanest technologically available electricity during periods of peak demand.

The construction project will include installing a Selective Catalytic Reduction system, an advanced emission control technology that is expected to reduce nitrogen oxides emission by 90% or more.