Commissioners vote to approve Wisconsin gas lateral; new line will bring competition to Southeastern Wisconsin

MILWAUKEE, Wis., June 5, 2001 — The Public Service Commission of Wisconsin (PSCW) voted to approve construction of the 35-mile Wisconsin Gas Lateral.

The lateral line will connect Wisconsin Gas' existing facilities to the Guardian Pipeline, which will bring natural gas from the Chicago market hub to southeastern Wisconsin and which will introduce meaningful gas pipeline competition to southeastern Wisconsin.

In today's discussion at the Commission's meeting, the commissioners chose the Wisconsin Gas recommended route that is 78 percent co-located with the Union Pacific Railroad and other existing utility infrastructure.

This route will connect the lateral from the Guardian terminus near the Town of Ixonia in Jefferson County to existing distribution facilities in Germantown and Brookfield. In addition, the commission also voted to find that Wisconsin Gas' proposed mitigation plans would adequately mitigate potential impacts to the environment.

"We are extremely pleased with the commission's approval today, including the recognition by the Commissioners of the proactive steps that Wisconsin Gas has taken since project inception to work with other agencies and landowners to address environmental and routing issues," said Dick Osborne, vice president of pipelines for Wisconsin Gas. "The Wisconsin Gas Lateral provides a needed new source of natural gas capacity for customers in southeastern Wisconsin. The lateral will also bring competition to the natural gas marketplace to help keep prices low for consumers."

Construction on the Wisconsin Gas Lateral is scheduled to begin in Spring 2002 and commercial operation will begin in the fall of the same year. This approval will be followed by a written order expected within a month.

Wisconsin Electric and Wisconsin Gas, the utility subsidiaries of Wisconsin Energy Corp. (NYSE: WEC), serve more than one million electric and over 957,000 natural gas customers throughout Wisconsin and Michigan's Upper Peninsula. Visit our utilities' Web sites at www.WisconsinElectric.com and www.WisconsinGas.com. Learn about Wisconsin Energy Corp. by visiting www.WisconsinEnergy.com.

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