Project Would Double Output of Clean, Renewable Energy at Holtwood Facility

A proposal to more than double the amount of clean, renewable electricity produced at PPL’s Holtwood hydroelectric plant took a major step forward when the company asked the Federal Energy Regulatory Commission for permission to expand the Lancaster County, Pa., plant.

The expansion would also include significant improvements to fish passage operations at the Holtwood dam. PPL has been working with state and federal agencies on ways to improve the efficiency of fish lifts that help American shad and other species get over the dam during their annual migration.

“This project would have significant environmental benefits while helping to meet Pennsylvania’s need for new sources of renewable electricity generation,” said William H. Spence, PPL executive vice president and chief operating officer, during a news conference Thursday (1/17) at the plant.

Kathleen A. McGinty, Pennsylvania Department of Environmental Protection secretary, attended the news conference in support of the project.

“Today marks a milestone in Pennsylvania’s pursuit of clean energy production,” McGinty said. “We’ve worked closely with PPL to craft this proposal in a way that helps meet our energy needs, while also addressing the environmental and ecological considerations associated with this kind of expansion project. Clean energy is an imperative for our environment, our economy and our security.”

After federal, state and local approvals are received, PPL plans to begin construction in 2009 with generation operations scheduled to start in 2012.

The expansion would add 125 megawatts of electricity generating capacity to the plant — enough to power 100,000 homes. This clean, renewable energy would be a significant addition to the state’s renewable generation capacity, and would represent a significant increase in PPL’s commitment to renewable energy development.

PPL has held public meetings on the project, and has been working with state and federal agencies, private sporting groups and individuals to address potential concerns. Based on input received, PPL has committed to improve migratory fish passage and mitigate environmental issues.

The Holtwood hydroelectric plant began generating electricity in 1910. Currently, it generates 109 megawatts of electricity using the power of the water held back by a 55-foot-high dam.

The half-mile-long Holtwood dam creates Lake Aldred, an eight-mile reservoir that provides opportunities for boating, fishing and other public recreation. PPL operates two campgrounds, 39 miles of hiking trails, several picnic areas, and other facilities including the well-known Shenk’s Ferry Wildflower Preserve and Lock 12 Historic Area.

In December, PPL announced the donation of 3,500 acres of company land around the Holtwood plant to the Lancaster County Conservancy in a public-private partnership that will preserve the land as open space and enhance its benefits to the public.

“As Holtwood moves into its second century as a vital clean energy resource, this expansion plan shows the importance of this facility to PPL and to the Commonwealth of Pennsylvania,” Spence said. “We’re proud to be advancing a project that benefits the environment while providing much-needed renewable energy for the region.”

More information on PPL’s proposed project at the Holtwood plant can be found at www.holtwood2010.com.

PPL Corporation (NYSE: PPL), headquartered in Allentown, Pa., controls more than 11,000 megawatts of generating capacity in the United States, sells energy in key U.S. markets and delivers electricity to about 4 million customers in Pennsylvania and the United Kingdom.