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N.Y. POWER AUTHORITY CHAIRMAN FLYNN TOUTS CONSERVATION TO EUROPEANS

 N.Y. POWER AUTHORITY CHAIRMAN FLYNN TOUTS CONSERVATION TO EUROPEANS
 MILAN, Italy, May 5 /PRNewswire/ -- Improved conservation measures and increased access to electric transmission lines could mean cleaner air and more economical electricity for European consumers, New York Power Authority Chairman Richard M. Flynn told Italian and Eastern European utility executives here Tuesday.
 "This period of tremendous change could also be a time of tremendous opportunity in Eastern Europe as it was in my state," Flynn said at a program arranged by the American Public Power Association and Milan's municipal electric system, Azienda Energetica Municipale. "We now have the chance to wipe the slate clean and to look at the various competitive options that can best meet our needs and those of our customers."
 Flynn referred to a 79 percent increase between the 1990 and 1991 New York Power Pool plans in the projected role of conservation in meeting the state's electricity demand by the year 2006.
 He also urged increased transmission access to carry new supplies of electricity from areas where power production is cheaper or cleaner to cities or regions facing air pollution problems.
 "My argument is simple," Flynn said. "If you want a cleaner environment and lower energy costs, encourage competition and free and open trade in electricity."
 He warned against nations trying to export their environmental regulations to neighboring countries, saying each must develop its own sophisticated procedures so that their exports of power will stand up to balanced environmental challenges.
 "The issue really boils down to this," Flynn said. "Should nations that import goods and services export regulations that govern how those goods are produced?"
 Flynn noted that a recently canceled Power Authority contract to buy hydroelectric power from Quebec attracted international attention because of claims that a proposed power project in northern Quebec would cause environmental damage.
 "While I decided to cancel the contract strictly on the basis of economics," he said, "the affair taught us quite a bit about today's developing global environmental movement."
 Flynn said that environmental regulation should be "tempered by common sense."
 "Efficiency, and the invisible hand of the marketplace, are really responsible for many of the environmental gains in recent years," he said. "The rising price of oil and the escalating cost of new power plants helped give birth to the conservation movement. It wasn't only high-minded regulation that encouraged conservation, it was high costs."
 Flynn was among several U.S. public power officials who participated in the program, financed by the United States Energy Association, the U.S. arm of the World Energy Council, an international group of energy officials.
 The New York Power Authority is a state-chartered organization and the largest electricity supplier in New York State.
 -0- 5/5/92
 /CONTACT: Jill Murman of New York Power Authority, 212-468-6415/ CO: New York Power Authority ST: New York IN: SU:


PS -- NY071 -- 6575 05/05/92 12:33 EDT
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Date:May 5, 1992
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