Bangor Hydro files transmission line petition with Maine Public Utilities Commission

BANGOR, Maine, Aug. 13, 2001 – Bangor Hydro-Electric Company today announced it has filed a petition with the Maine Public Utilities Commission (MPUC) for a new 345 kV transmission line between Maine and New Brunswick, Canada.

The line will be a second tie with New Brunswick Power Corporation (NB Power) and will create more opportunities to buy and sell in Maine’s power markets that will work to lower electricity prices for customers served by Bangor Hydro and other Maine utilities. The line will also reduce line losses and increase reliability.

“The proposed 345 kV transmission line is intended to lower electricity prices and increase reliability, which are fundamental concerns of Bangor Hydro’s customers,” stated Carroll Lee, Senior Vice President and Chief Operating Officer of Bangor Hydro.

“Since the beginning of restructuring, overall costs for our residential customers have increased by 18%. Additional transmission capacity between Maine and the Maritimes will increase competition among generators for sales by expanding the ability of Canadian firms to transmit energy into Maine. The line will initially be able to move 300 MW. After certain system upgrades in other parts of Maine the line could move additional capacity into New England.”

Bangor Hydro expects to begin construction in winter 2002. The line will run approximately 84 miles from a substation at Orrington to the St. Croix River at Baileyville (Woodland). NB Power (http://www.nbpower.com) is also seeking authority for its portion of the new line from Canadian regulators. NB Power will construct approximately 60 miles of new line from a substation at Pt. Lepreau to meet the Bangor Hydro portion at the St. Croix River.

“Our expectation is that the MPUC will find that this new transmission line is needed and grant us authority to begin construction this winter,” stated Lee. “We have been working on this project for several years and look forward to its completion.”

Bangor Hydro (www.bhe.com) is an electric utility serving a population of 192,000 in an area encompassing 5,275 square miles in eastern and east coastal Maine. Bangor Hydro is a member of the New England Power Pool and is interconnected with other New England utilities to the south and with NB Power to the north.

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