PPL Corp. (PPL: NYSE), today (5/25) announced that its development subsidiary plans to install five compact, natural gas-fired generation facilities in eastern Pennsylvania totaling about 900 megawatts of electricity generating capacity. The five facilities, three in Lancaster County and two in Montgomery County, represent a combined total cost between $400 and $450 million and are expected to go on-line by the summer of 2002.

Site preparation and installation, pending appropriate approvals, could begin as early as 2001 on these facilities, which will all be "peaking" generators designed primarily to be started rapidly and operated only during periods of high energy demand.

"These projects represent an environmentally sensitive and cost-effective approach to meeting the growing need for electricity in the region, especially during hot, humid weather," said William F. Hecht, PPL's chairman, president and chief executive officer. "The requests to restrict the use of electricity last summer and already this spring underscore the need for additional peaking generation of this kind," he said.

"These facilities will improve the reliability of the electrical system for surrounding communities while minimizing environmental impacts and requiring no new transmission lines," Hecht continued.

In Lancaster County, about 720 megawatts of total generating capacity are being developed at the following locations:

--West Earl Township, 450 megawatts;

--West Hempfield Township, 180 megawatts; and

--Eden Township, 90 megawatts.

In Montgomery County, about 180 megawatts of total generating capacity are being developed at these locations:

--Upper Hanover Township, 90 megawatts, and

--Hatfield Township, 90 megawatts.

As its plans for the facilities progress, PPL Global will be sharing details directly with local community leaders and elected officials, residents and environmental groups. PPL Global already has met with some local leaders, several interested groups and the Pennsylvania Department of Environmental Protection to discuss its plans and today's announcement. Meetings with additional groups are being planned.

"Compact facilities such as these, occupying less than an acre each, are helping us all to realize the benefits of competitive electricity generation in Pennsylvania," said Hecht, "where consumers bear none of the financial risks of building new facilities."

Individual, pre-assembled generation units with capacities of about 45 megawatts each will be used. The design represents the most efficient, state-of-the-art technology for peaking generators. They operate cleanly using natural gas and a minimum amount of water to improve efficiency and to minimize air emissions. During site preparation and installation, there are expected to be from 30 to 60 workers per site.

The five new generation facilities in Lancaster and Montgomery counties are in addition to several plants already under development in key regions of the U.S. by PPL Global, the corporation's development and international operating company.

In addition to the power plants currently being developed in the U.S., PPL Global owns power plants in Spain, Portugal, Bolivia and Peru. PPL Global also owns companies in the United Kingdom and Latin America that deliver electricity to about 2.2 million customers.

Certain statements contained in this news release, including statements with respect to future generating capacity and the associated cost, are "forward-looking statements" within the meaning of the federal securities laws. Although PPL Corp. believes that the expectations and assumptions reflected in these forward-looking statements are reasonable, these statements involve a number of risks and uncertainties and actual results may differ materially from the results discussed in the statements. The following are among the important factors that could cause actual results to differ materially from the forward-looking statements: market demand and prices for energy, capacity and fuel; weather variations affecting customer energy usage; competition in retail and wholesale power markets; the effect of any business or industry restructuring; the profitability and liquidity of PPL Corp. and its subsidiaries; new accounting requirements or new interpretations or applications of existing requirements; operating performance of plants and other facilities; environmental conditions and requirements; system conditions and operating costs; political, regulatory or economic conditions; any required governmental approvals or third-party consents; and the commitments and liabilities of PPL Corp. and its subsidiaries. Any such forward-looking statements should be considered in light of such factors and in conjunction with PPL Corp.'s Form 10-K and other reports on file with the Securities and Exchange Commission.