Released By CP&L, Duke Energy, Scana News Release
July 18, 2000

CP&L ENERGY, DUKE ENERGY AND SCANA CORPORATION TO PROPOSE REGIONAL TRANSMISSION ORGANIZATION

RALEIGH, N.C. – CP&L Energy [NYSE: CPL], Duke Energy (NYSE: DUK] and SCANA Corporation [NYSE: SCG] have proposed the formation of an independent regional transmission organization (RTO) in compliance with the Federal Energy Regulatory Commission’s Order 2000. The proposed RTO is to be known as GridSouth and would be responsible for operating and planning the transmission systems of the three companies.

"Taking a regional approach to transmission is both efficient and ultimately beneficial to all of our customers," said William Cavanaugh, CP&L Energy chairman, president and CEO. "Planning for and operating transmission on a regional basis should make our already competitive wholesale electricity markets even more robust."

Initially, the three utilities will continue to own their existing transmission networks, while the RTO will assume broad operational and planning responsibilities to ensure open and non-discriminatory access to the grid. The three companies will unveil the initial proposal to other stakeholders during regional public meetings in August and September.

"The intent of our three companies is to move the RTO towards a broad, regional independent transmission company that spans the Southeast," noted Duke Energy chairman, president and CEO Richard B. Priory. "This is an important first step towards a system that is more responsive to customers' needs and at the same time creates value for shareholders."

"In complying with FERC Order 2000, we will work to ensure that our customers continue to receive the reliable, low-cost electricity service that they have come to expect," said William B. Timmerman, SCANA chairman, president and CEO.

In preparation for a required filing with the Federal Energy Regulatory Commission, the three utilities will hold public stakeholder meetings to explain initial plans for the operation of the regional transmission and to seek public comment. The three utilities are committed to an open stakeholder process, and plan to host at least four meetings. Additional meetings will be scheduled, depending on the level of interest.

The first of those meetings will be held August 2, 2000, 9:30 a.m. to 3:30 p.m. at the University Hilton in Charlotte. Its purpose will be to provide a general overview of the RTO being proposed by the three companies and to initiate stakeholder input to the model. Three additional meetings to discuss specific aspects of the proposal will be scheduled in Raleigh, Columbia, S.C., and Charlotte. Dates, times, locations and subject matter for those additional meetings will be announced as arrangements are finalized.

Information about the RTO model and about meeting schedules can be found at the RTO web site beginning August 2, 2000. The web site address will be http://www.gridsouth.com.

The three utilities will work with state regulators and other stakeholders as they refine their plan for the regional transmission organization. The proposal will be filed with FERC by October 16, which would be consistent with FERC's intent to have all utilities in the country operating in regional transmission organizations by December 15, 2001.

Headquartered in Raleigh, CP&L Energy, through its subsidiary, Carolina Power & Light, provides electric service for 1.2 million customers in its 30,000-square-mile service area in eastern and western North Carolina and South Carolina.

Duke Energy is headquartered in Charlotte. As Duke Power, the company provides electric service to 2 million customers in its 20,000-square-mile service in central and western North Carolina and South Carolina.

Columbia, S.C.-based SCANA, is the parent company of South Carolina Electric & Gas, which serves 525,000 electric customers in its 15,000-square-mile service are in central and southern South Carolina.

Together the three utilities operate more than 22,000 miles of transmission line and approximately 34,500 megawatts of electric generation.

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Securities Exchange Act of 1934. The forward-looking statements are subject to various risks and uncertainties. Discussion of factors that could cause actual results to differ materially from management's projections, forecasts, estimates and expectations may include factors that are beyond the company's ability to control or estimate precisely. Factors include, but are not limited to, actions in the financial markets, weather conditions, economic conditions in the company's service territories, fluctuations in energy-related commodity prices, conversion activity, other marketing efforts and other uncertainties. Other risk factors will be detailed from time to time in the company's SEC reports.

Contact: Joe Maher
Phone: 704-382-8323
24 Hour Phone: 704-382-8333
Email: jmaher@duke-energy.com
Contact: Keith Poston (CP&L)
Phone: 919-546-6189
24 Hour Phone: 704-382-8333
Email: media_relations@duke-energy.com
Contact: Roger Schrum (Scana)
Phone: 803-217-7777
24 Hour Phone: 704-382-8333
Email: media_relations@duke-energy.com