Aquila Seeks Power Supply Contracts to Provide for Colorado Customers.

Business Editors

KANSAS CITY, Mo.--(BUSINESS WIRE)--April 2, 2002

Aquila, Inc. (NYSE: ILA) is seeking power supply contracts to secure up to 300 megawatts of annual capacity to help meet the long-term energy demands of its 85,000 electric customers in Colorado, a company official announced today. Formerly UtiliCorp United, the company plans to issue its request for proposal (RFP) for bids on June 1.

Aquila expects to begin receiving power from the successful bidder or bidders on January 1, 2007. The 300 megawatts is enough energy to provide the annual power needs for 72,000 homes.

Aquila is working on this RFP with the staffs of the Colorado Public Utilities Commission and the Office of Consumer Counsel.

"One of the main reasons for obtaining these electric supplies is the increasing electricity demand in our service territory," said Keith G. Stamm, president and chief operating officer of Aquila's Global Networks Group. "Also, Aquila has current purchased power contracts for its Colorado electric service territory that are expiring at the end of 2006. The new set of contracts from this RFP process will ensure that ample and reliable power supplies are available to our customers in the years to come."

The retail services unit of Aquila Networks, a division of Aquila, Inc., is coordinating the RFP process with an outside consultant to provide independent evaluation of bids. In addition, the Colorado Public Utilities Commission will review the bidding process.

Parties interested in submitting bids to this RFP may contact Aquila Networks by e-mail at [e-mail] for more information. Aquila maintains an extensive list of potential industry bidders who will receive formal notification about the Colorado RFP in early May.

Aquila (pronounced "ah-KWIL-uh") owns 102 megawatts of generation capacity in Colorado. The company also provides natural gas service to 44,000 customers in the state.

Based in Kansas City, Mo., Aquila, Inc. is an international energy and risk management company with customers and operations across the U.S. and in Canada, the United Kingdom, New Zealand, and Australia.