News Release
April 15, 1999

Duke Power’s Allen Steam Station Improves Efficiency

CHARLOTTE – Duke Power officials recently honored the Allen Steam Station with the Charles A. Dewey award for the most improved efficiency in 1998.

The award is presented annually to the coal-fired station on the Duke system that attains the greatest improvements in operating efficiency.

"The Allen team has looked in every nook and cranny to find efficiencies," said Rick Deese, Allen Steam Station manager. "I’m proud of their hard work and dedication to never being satisfied with status quo."

Achieving a higher efficiency rate means that less coal is used to produce the same amount of energy. A simple 1-percent improvement in efficiency can equate to 2,000 fewer tons of coal used annually. Higher efficiency ratings can result in cost savings, as nearly 80 percent of coal-fired plant operating costs are associated with the purchase of the coal. Using less coal also results in lower emissions.

"Our goals are to provide reliable and economic generation, to work efficiently and to responsibly manage our impact to the environment," said Deese. "This award recognizes our strong commitment to those goals."

Late last year, Allen began a series of outages to perform maintenance work on some of its larger equipment, including boilers. The plant will be spending a total of $100 million over the next three years, with over $4 million being spent on emission control devices.

The Allen Steam Station is the third largest Duke Power coal-fired plant. Located in Belmont, N.C., the plant is named for G.G. Allen, chairman of Duke Power from 1925 to 1949. With five generating units, Allen is capable of producing over a million kilowatts of electricity, enough to power approximately 54,000 residences, 8,600 businesses or 300 industries. The plant employs 145 people.

Duke Power is a business unit of Duke Energy (NYSE: DUK). Duke Energy is a global energy company with more than $26 billion in assets. Headquartered in Charlotte, N.C., the company reaches into more than 50 countries, producing energy, transporting energy, marketing energy and providing energy services. In the United States, Duke Energy companies provide electric service to approximately two million customers in North Carolina and South Carolina; operate interstate pipelines that deliver natural gas to various regions of the country; and are leading marketers of electricity, natural gas and natural gas liquids. Additional information about the company is available on the Internet at: www.duke-energy.com.

Contact: Guynn Savage
Phone: (704) 382-8350
24 Hour Phone: (704) 382-8333
Email: ghsavage@duke-energy.com