Rockland Electric Transfer to PJM

On October 17, 2001 Rockland Electric Company and PJM filed with FERC a joi=
nt application for the transfer of operational control from the NYISO to PJ=
M of certain facilities located in Northern New Jersey. The facilities are=
the transmission assets in the Eastern Division of Rockland's service terr=
itory. This includes approximately 400 MW of load in Bergen County, NJ and=
transmission facilities that are already directly interconnected with PJM =
(note that other Rockland facilities located in NJ, namely those in norther=
n Passaic County and Sussex County (Rockland's Central and Western Division=
s respectively) will not be transferred to PJM and will remain under the op=
erational control of the NYISO since these facilities are not directly inte=
rconnected with PJM nor with Rockland's Eastern Division). The filing requ=
ests approval of the transfer by November 30, 2001 which would allow PJM to=
take operational control on February 1, 2002 (the filing does not address =
what, if any, changes to the operation date might be if FERC does not appro=
ve this by Nov 30). Rockland Electric is a subsidiary of Orange & Rockland=
Utilities which is a subsidiary of Con Edison.

The transfer adds approximately 400 MW of load and 56,000 customers (mostly=
residential and commercial) to PJM. There is no increase in supply, there=
fore the total load of PJM is increased by 400 MW without any additional re=
sources. The transmission assets include 138-kV (8.3 miles), 69-kV (35.9 m=
iles) and 35-kV (12.4 miles) transmission lines and 11 substations (the fil=
ing includes a detailed description of these assets).

Let me know if you require any additional information.