Uncategorized

FERC to appoint settlement judge to help resolve issues related to AEP’s corporate separation

COLUMBUS, Ohio, Sept. 26, 2001 — The Federal Energy Regulatory Commission, acting on a request by American Electric Power, today agreed to appoint a settlement judge to help resolve issues related to the company’s request to separate its regulated and competitive businesses.

“The Commission has consistently encouraged parties to resolve disputes of this nature through settlement,” the FERC order said. “We believe that formal settlement procedures may lead to a partial or a complete resolution of this case.”

The FERC directed the Chief Administrative Law Judge to appoint a settlement judge within five days. AEP and parties who have intervened will file a joint written report to the commission — identifying issues that have been settled, issues not settled and the parties’ positions on outstanding issues — within 30 days after the settlement judge is appointed. The FERC will use the report as a basis to issue a further order on the corporate separation applications.

“This is good news,” said Craig Baker, AEP senior vice president – public policy. “We are working with interveners to address issues of concern. We requested the appointment of a settlement judge to help expedite this process and bring a timely decision on our filing for corporate separation.”

On July 24, AEP filed documents with FERC seeking approval to form two wholly owned corporations. One corporation will hold AEP’s subsidiaries whose revenues derive from competitive, usually market-based, activities. The second will hold AEP’s utility subsidiaries that are subject to regulation by at least one state utility commission or foreign utility subsidiaries subject to rates or tariffs regulations.

American Electric Power is a multinational energy company based in Columbus, Ohio. AEP owns and operates more than 38,000 megawatts of generating capacity, making it America’s largest generator of electricity. The company is also a wholesale energy marketer and trader, ranking second in the U.S. in electricity volume with a growing presence in natural gas. AEP provides retail electricity to more than 7 million customers worldwide and has holdings in the U.S. and select international markets. Wholly owned subsidiaries are involved in power engineering and construction services, energy management and telecommunications.

News releases and other information about AEP can be found on the World Wide Web at http://www.aep.com .