Cinergy Business Solutions: Combined Heat and Power Plant Begins Operations.

Energy Editors/Business Editors

ST. PAUL, Minn.--(BUSINESS WIRE)--May 7, 2003

Officials at St. Paul Cogeneration, LLC today announced that its combined heat and power plant is now in full operation providing electricity to Xcel Energy and hot water to District Energy. The new biomass plant, under construction since September 2001, has been operating in test mode since mid-February in preparation for permanent operations. The privately-financed facility is owned and operated by St. Paul Cogeneration, a company formed by Trigen-Cinergy Solutions of St. Paul, LLC and Market Street Energy Company, LLC an affiliate of District Energy St. Paul, Inc.

Cinergy Solutions, Inc., responsible for the design and construction of this state-of-the-art facility, built the biomass-based combined heat and power plant in less than 18 months. "We are proud to be a part of this landmark project in St. Paul," said Don Snider, President & COO of Cinergy Solutions, Inc. "The facility was constructed in a very short time largely due to the cooperation throughout the project between Market Street Energy and Trigen-Cinergy Solutions of St. Paul along with the skill and dedication of the St. Paul labor force."

"As biomass is an important and developing part of Xcel Energy's supply portfolio, we are pleased to have this new plant providing electricity to our power grid," said David Eves, Vice President of Resource Planning and Acquisition for Xcel Energy. "This plant represents an important component in our continuing efforts to expand and diversify our energy production through the use of renewable resources."

The new plant sequentially produces heat and electricity, making it more than twice as efficient as plants that only generate electricity. It is fueled primarily by clean wood waste, a plentiful, renewable local resource. Projected to burn 280,000 tons of wood waste annually, it will be the largest wood-fired combined heat and power plant supplying a district energy system in the United States.

"This plant will provide significant economic and environmental benefits for businesses and residents throughout our region," said Anders Rydaker, President of Market Street Energy Company. "It will reduce District Energy's reliance on coal by 80 percent, reduce soot emissions by 50 percent, and reduce greenhouse gas emissions by more than 280,000 tons per year. The new plant will also help the community solve a wood waste disposal problem."

Xcel Energy will purchase 25 megawatts of electricity produced at the plant, enough energy to supply approximately 20,000 homes. In addition, efficient thermal energy will supply approximately 80 percent of the annual needs for the District Energy system, which is currently fueled primarily by coal. District Energy provides heating and cooling services to the majority of buildings in the downtown St. Paul area.

Company backgrounds:

Trigen-Cinergy Solutions is a joint venture that combines the capabilities of Cinergy Corp. and Trigen Energy Corporation.

Market Street Energy Company, LLC, an affiliate of District Energy St.Paul, Inc., is a company dedicated to serving electric and thermal energy needs through innovative, environmentally sound and cost-effective programs, projects and services.

Cinergy Solutions Inc. is an affiliate of Cinergy Corp., one of the nation's leading diversified energy companies with assets of $13 billion. Cinergy Solutions focuses on cogeneration, energy services and utility outsourcing for large industrials, municipalities, universities and other large energy consumers. Its customers include BP Amoco, Kodak, Procter & Gamble and General Motors.

Trigen Energy Corporation is managed by Tractebel Power, Inc. which is a business unit of Tractebel North America, Inc. (TNA). TNA is a wholly owned subsidiary of Tractebel Electricity & Gas International (EGI), which is one of the four business lines of SUEZ (NYSE:SZE), a worldwide industrial and services group which provides innovative solutions in Energy - electricity and gas - and Environment - water and waste services.

In North America, Tractebel currently owns and/or operates a total of 57 power, cogeneration, steam, and chilled-water facilities that produce more than 3,127 MW of electricity generation, 12 million pounds per hour of steam, and 147,000 tons per hour of chilled water. The St. Paul facility marks the 15th wood-fired plant owned or co-owned by Tractebel.

District Energy St. Paul, Inc., is a private, non-profit corporation organized in 1979 as a demonstration project to develop, construct and operate a hot water district heating system to serve downtown Saint Paul's central business district and adjacent areas. The company currently serves over 150 downtown buildings as well as 300 individual residences and is the largest hot water district heating system in the U.S. Its affiliate, District Cooling St. Paul, began providing air-conditioning service in 1993 and currently serves over 60 buildings in the greater downtown area.

Xcel Energy is a major U.S. electricity and natural gas company with regulated operations in 12 Western and Midwestern states. Formed by the merger of Denver-based New Century Energies and Minneapolis-based Northern States Power Co., Xcel Energy provides a comprehensive portfolio of energy-related products and services to 3.2 million electricity customers and 1.7 million natural gas customers through its regulated operating companies. In terms of customers, it is the fourth-largest combination natural gas and electricity company in the nation. Company headquarters are located in Minneapolis. More information is available at www.xcelenergy.com.