Pennsylvania Power Company Completes Purchase of Solar Renewable Energy Credits

READING, Pa., March 18, 2011 /PRNewswire/ -- FirstEnergy Corp.'s (NYSE: FE) subsidiary Pennsylvania Power Company (Penn Power) has successfully contracted for 19,800 Solar Renewable Energy Credits (SRECs).  One SREC represents the solar renewable energy attributes of one megawatt-hour of generation from a solar generating facility.

The procurement is part of Penn Power's plan to purchase SRECs to meet the state's Alternative Energy Portfolio Standards through 2020.  This purchase of SRECs is equivalent to approximately 2,200 megawatt-hours of solar power generation annually over the next nine years, representing enough energy to power more than 300 homes.  Purchasing SRECs will help provide a stable basis for financing solar generation projects in the company's service area and help support the development of solar energy in the state.

The average cost is $199.09 per SREC, with deliveries scheduled to begin in June 2011 and last through May 2020.  The results of the procurement were approved by the Pennsylvania Public Utility Commission on March 11, 2011.

The competitive bidding process was conducted by The Brattle Group – an independent evaluator and global economic and financial consulting firm based in Cambridge, Mass.  Costs incurred to meet the solar requirements of Pennsylvania's Alternative Energy Portfolio Standards will be reflected in Penn Power customer bills beginning in June 2011.

Penn Power serves approximately 160,000 customers in six Pennsylvania counties.  

FirstEnergy is a diversified energy company dedicated to safety, reliability and operational excellence.  Its ten electric distribution companies comprise the nation's largest investor-owned electric system.  Its diverse generating fleet features non-emitting nuclear, scrubbed baseload coal, natural gas, and pumped-storage hydro and other renewables, and has a total generating capacity of approximately 24,000 megawatts.

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SOURCE FirstEnergy Corp.