Allegheny Power Asks Consumers to Conserve Electricity

Allegheny Power and PJM Interconnection, the electricity grid operator for more than 51 million people in 13 states and the District of Columbia, are asking customers to conserve electricity on Tuesday while the region experiences an intense heat wave.

Demand for electricity in the PJM Region is expected to reach a new all-time peak record Tuesday as the excessive heat and humidity continue. PJM has indicated that adequate supplies of electricity are available, and Allegheny does not expect any problems delivering power as a result of the high demand. However, conserving electricity provides an additional “cushion” to ensure adequate power supplies.

Allegheny Power asks customers to conserve electricity, if health permits, especially between the hours of 3:00 p.m. to 7:00 p.m. The public is asked to consider the following electricity conservation tips:

— Close curtains and blinds to keep out the sun and retain cooler air inside your home;

— Postpone using major electric household appliances like stoves, dishwashers, and clothes dryers until the cooler evening hours;

— Set your air conditioner thermostat higher than usual; and

— Turn off non-essential electric appliances and equipment.

Following these guidelines to reduce the use of electricity will help avoid possible electric power shortages. Allegheny Power and PJM will continue to carefully monitor the situation and request the public’s assistance as necessary.

Allegheny Energy

Headquartered in Greensburg, Pa., Allegheny Energy (NYSE:AYE) is an investor-owned utility consisting of two major businesses. Allegheny Energy Supply owns and operates electric generating facilities, and Allegheny Power delivers low-cost, reliable electric service to customers in Pennsylvania, West Virginia, Maryland, and Virginia. For more information, visit our Web site at www.alleghenyenergy.com.

Forward-Looking Statements

In addition to historical information, this release contains a number of “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. Words such as anticipate, expect, project, intend, plan, believe, and words and terms of similar substance used in connection with any discussion of future plans, actions, or events identify forward-looking statements. These include statements with respect to: rate regulation and the status of retail generation service supply competition in states served by Allegheny Energy’s distribution business, Allegheny Power; financing plans; demand for energy and the cost and availability of raw materials, including coal; provider-of-last-resort and power supply contracts; results of litigation; results of operations; internal controls and procedures; capital expenditures; status and condition of plants and equipment; capacity purchase commitments; regulatory matters; and accounting issues. Forward-looking statements involve estimates, expectations and projections and, as a result, are subject to risks and uncertainties. There can be no assurance that actual results will not materially differ from expectations. Actual results have varied materially and unpredictably from past expectations. Factors that could cause actual results to differ materially include, among others, the following: plant performance and unplanned outages; changes in the price of power and fuel for electric generation; general economic and business conditions; changes in access to capital markets; complications or other factors that render it difficult or impossible to obtain necessary lender consents or regulatory authorizations on a timely basis; environmental regulations; the results of regulatory proceedings, including proceedings related to rates; changes in industry capacity, development and other activities by Allegheny Energy’s competitors; changes in the weather and other natural phenomena; changes in customer switching behavior and their resulting effects on existing and future load requirements; changes in the underlying inputs and assumptions, including market conditions used to estimate the fair values of commodity contracts; changes in laws and regulations applicable to Allegheny Energy, its markets or its activities; the loss of any significant customers or suppliers; dependence on other electric transmission and gas transportation systems and their constraints or availability; changes in PJM, including changes to participant rules and tariffs; the effect of accounting policies issued periodically by accounting standard-setting bodies; and the continuing effects of global instability, terrorism and war. Additional risks and uncertainties are identified and discussed in Allegheny Energy’s reports filed with the Securities and Exchange Commission.