GPU Energy applauds N.J. Energy Master Plan Phase II Report.

MORRISTOWN, N.J.--(BUSINESS WIRE)--Jan. 16, 1997--GPU Energy praised the New Jersey Board of Public Utilities (BPU) for its draft proposal to restructure the electric power industry in New Jersey.

The BPU released the report on restructuring, which marks the culmination of the Energy Master Plan Phase II process, at a special meeting held today in Newark. The release of the report is to be followed by public hearings to be held in February. The BPU intends to issue final findings and recommendations to Governor Whitman and the State Legislature for their consideration in March.

"Philosophically, it's very close to the reforms GPU Energy has endorsed throughout our involvement with the BPU during the Master Plan process," said Elizabeth Ard, Vice President Corporate Affairs New Jersey. "In fact, it appears to be consistent with GPU Energy's own principles for competition of fairness, customer choice, social policy goals and environmental stewardship, network reliability and an orderly and expeditious transition. GPU Energy is a strong proponent of customer choice. Our pilot program which allows customer choice for Monroe Township in Middlesex County was the first to be filed by a New Jersey electric utility."

The Master Plan Phase II Report suggests a percentage of customers from each consumer group in New Jersey will be able to shop for their supplier of electricity beginning in October, 1998. All customers will choose their supplier by April, 2001. Electricity rates will be capped by the BPU.

"This report takes significant positive steps toward restructuring the electric power industry," Ard said. "GPU Energy certainly agrees with the BPU that competition will expand the choice of services and products for all consumers and ensure that New Jersey remains competitive with neighboring states. We at GPU Energy look forward to meeting the challenges of its implementation."

CONTACT: GPU Energy

Ron Morano, 201/644-4297

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