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PECO TO CONVERT TWO EDDYSTONE UNITS TO CO-FIRE WITH NATURAL GAS; PROJECT TO CREATE JOBS, SAVE COSTS, REDUCE EMISSIONS

 PHILADELPHIA, Sept. 13 /PRNewswire/ -- Philadelphia Electric Company (NYSE: PE) (PECO) said it has begun a $24.4 million project to improve operations and substantially reduce the cost of electricity from its Eddystone Generating Station in southern Delaware County, Pa.
 PECO said it will convert the Units 3 and 4 at Eddystone to burn natural gas and oil to power its generators and install new facilities required to supply gas to the site. Units 3 and 4, which produce 380 megawatts of electricity each, are currently equipped to fire only No. 6 oil. After the modifications, the units will be able to operate with oil, gas, or a blend of fuels together.
 Located along the Delaware River, Eddystone Station is PECO's largest non-nuclear generating station. In addition to Units 3 and 4, which were built in the mid-1970s, it houses two coal-fired units equipped with scrubbers that comply with federal Clean Air standards.
 The two-unit conversion will employ as many as 250 contractors. When completed late next year, PECO customers will benefit from an estimated reduction in fuel costs of $3 million to $6 million a year, and sulfur dioxide and other emissions on the PECO system will be significantly reduced.
 John J. Milito, Eddystone manager, said the modification work at the station is now underway. It involves the addition of gas burners, dual fuel ignitors, and a new integrated control and monitoring system.
 Milito said PECO will realize greater fuel diversity in its electric generation, improved unit reliability, lower emissions when burning natural gas instead of No. 6 oil, and lower operating costs by using less expensive gas purchased in large quantity.
 With the fuel flexibility, the units' contribution to the electric system will increase as PECO can choose to operate them based upon fuel availability and which fuel is more economically advantageous at the time, he said. With gas co-firing, production at Units 3 and 4 is expected to double.
 John M. Madara, Jr., PECO vice president, Production, said the project follows positive experience with a similar conversion last year at the Company's Cromby Generating Station in Phoenixville, Pa. and a contn?uing favorable natural gas market.
 Ken Lawrence, PECO vice president, Gas Operations, said Eddystone will be supplied with up to 80 million cubic feet of natural gas per day. The Eddystone conversion is equivalent to adding 100,000 new house heated homes to the PECO system. The higher volume gas use, he said, could lower fuel costs for all PECO gas customers and enhance year-round utilization of PECO's gas facilities.
 The project also involves construction of a gas gate station to regulate and monitor gas flow into Eddystone and pipeline connections to the Texas Eastern Transmission Corporation (TETCO) network less than two miles away. The selected route will run through predominantly industrial and commercial zoned areas within Eddystone and Ridley Park boroughs and Ridley Township. Work on these aspects is scheduled to begin in November.
 Project management, engineering and design assistance, and major equipment supplied by Sanders & Thomas/STV, of Pottstown; Raytheon Engineers & Constructors, of Valley Forge; Stone & Webster, of Cherry Hill; Forney International and Westinghouse.
 The contracts for major equipment and installation for this project include "partnering agreements" and milestone bonuses for timely submission of design information. These agreements allow contractors to earn more profit by saving PECO money.
 /delval/
 -0- 9/13/93
 /CONTACT: Michael Wood of Philadelphia Electric, 215-841-4125/
 (PE)


CO: Philadelphia Electric Company ST: Pennsylvania IN: UTI SU:

MJ -- PH014 -- 1254 09/13/93 11:31 EDT
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Publication:PR Newswire
Date:Sep 13, 1993
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