News Release
Aug. 07, 1998

DUKESOLUTIONS AWARDED FEDERAL ENERGY SERVICES CONTRACTS

CHARLOTTE, N.C. — DukeSolutions, Duke Energy Corporation’s integrated energy services subsidiary, has been contracted to improve the energy efficiency of federal facilities in eight Midwest and 12 Central states. DukeSolutions is one of seven energy services companies selected to participate in the contracts, each valued at $750 million.

Under the contracts administered by the Department of Energy, DukeSolutions will provide retrofits and make capital improvements to federal facilities to reduce energy costs. The enhancements will be made at no expense to taxpayers. DukeSolutions already holds similar regional contracts with the DOE, the Department of Defense and the U.S. Army Medical Command for energy services in all 50 states.

"We are pleased to put our energy services expertise to work for the federal government in a manner that saves taxpayers’ money and reduces pollution," said Charlie Watkins, DukeSolutions president. "Our commitment to technical and execution excellence coupled with guaranteed performance makes us the right f~t to help the government achieve its energy reduction mandates."

States covered in the Central contract are: Colorado; Kansas; Louisiana; Montana; Nebraska; New Mexico; North Dakota; Oklahoma; South Dakota; Texas; Utah; and Wyoming.

The Midwest contract covers: Illinois; Indiana; Iowa; Michigan; Minnesota; Missouri; Ohio and Wyoming.

The DOE’s field office in Golden, Cob., will administer both contracts as part of the agency’s Super Energy Savings Performance Contract (ESPC).

DukeSolutions will begin energy studies at the NASA Lewis Research Center in Cleveland, Ohio, later this summer under the Midwest contract. Cost reduction measures at this facility will include upgrades to lighting, heating and cooling equipment.

DukeSolutions also is providing comprehensive energy solutions in several federal facilities in the Southeast, including the Oak Ridge National Laboratory in Oak Ridge, Tenn. This was the first facility assigned to any of the six pre-approved energy service companies since contractors were selected under the DOE’s Southeast performance program earlier this year. Efficiency improvements will focus on heating and cooling systems, water conservation and lighting upgrades.

Additionally DukeSolutions will provide energy services to the NASA John F. Kennedy Space Center (KSC) in Cape Canaveral, Fla., under the Southeast contract. The company will concentrate on lighting, heating and cooling systems and electric motor upgrades.

The federal energy savings program was established to allow government facilities to make energy efficiency upgrades at no cost to taxpayers. Energy services companies finance the upgrades and are reimbursed from actual cost savings. These programs are designed to help federal facilities managers meet President Clinton’s directive to cut energy usage in government buildings 30 percent by 2005.

DukeSolutions, a wholly owned subsidiary of Duke Energy, provides integrated energy solutions that reduce costs and improve energy efficiency for industrial, commercial, governmental, institutional and wholesale entities. DukeSolutions offers customers a full range of energy services including efficiency and productivity, supply, financing, information management, and various related energy services.

Duke Energy Corporation (NYSE:DUK) is a global energy company with more than $24 billion in assets. Duke Energy companies provide electric service to about 2 million customers; operate pipelines that deliver 12 percent of the natural gas consumed in the United States; and are leading marketers of electricity, natural gas and natural gas liquids. Globally the companies develop, own and operate energy facilities and provide engineering, management, operating and environmental services. Contact Duke Energy on the World Wide Web at http://www.duke-energy.com.

Contact: Mary Alice Rogers
Phone: (704) 373-6574
24 Hour Phone: (704) 382-8333
Email: media_relations@duke-energy.com