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AEP PSO utility issues rfp for renewable energy resources


COLUMBUS, Ohio. – American Electric Power (NYSE: AEP) subsidiary Public Service Company of Oklahoma (PSO) today issued a request for proposals (RFP) seeking long-term purchases of up to 200 megawatts (MW) of new renewable energy resources.

According to the RFP, proposals must rely on commercially proven technologies for renewable energy, including wind; solar photovoltaic; biomass firing or co-firing of agricultural crops and all energy crops; hydro (as certified by the Low Impact Hydropower Institute); landfill gas; biogas digesters; and biomass firing or co-firing of crop residues, animal waste and woody waste. The generation must be operational by the end of 2010.

A pre-bid conference call for potential bidders will be conducted May 21 with proposals to be submitted by June 30. RFP information can be found at

The renewable RFP will fulfill a portion of PSO’s energy requirements consistent with the company’s Spring 2008 Integrated Resource Plan. It also is part of AEP’s plan – announced in 2007 – to add 1,000 MW of new wind or renewable energy by 2011 as a component of the company’s comprehensive strategy to address its greenhouse gas emissions. The addition of renewable energy to AEP’s energy portfolio avoids an increase in greenhouse gas emissions that would otherwise occur if AEP used traditional fossil generation to meet growing customer demand.

“This RFP continues our commitment to adding renewables, where they are most viable, to our generation portfolio. In Oklahoma, we are already the largest provider of wind energy in the state with 392.5 megawatts of renewable generation serving our customers through long-term contracts. Adding another 200 megawatts of renewable generation will bring the renewable portion of our PSO generation capacity to more than 10 percent,” said Michael G. Morris, AEP’s chairman, president and chief executive officer.

“Despite best intentions, it is not possible to meet all of the growing energy needs of our customers solely with renewable generation. Even in areas where renewables are most viable, the ability of renewable generation to reach its full potential is inhibited by the constant uncertainty of the Production Tax Credits and the ever-growing constraints on our country’s transmission grid. On a national level, we need to codify longer-term tax credits for renewable generation. We also need national regulatory policies that support transmission investment and advance development of a reliable transmission highway to move renewable power from where it can be generated to where it can serve customers,” Morris said.

AEP issued RFPs for 65 MW of renewable energy to serve its Southwestern Electric Power Company customers and for 100 MW of renewable energy to serve its Appalachian Power customers in April. AEP has completed three purchases of long-term renewable energy capacity since the company made its 1,000-MW commitment in 2007. The three purchases, all of wind energy, added 275 MW of renewable capacity to serve AEP’s customers in Indiana, Michigan, West Virginia, Virginia and Tennessee.

AEP’s wind portfolio – prior to the recent RFPs – is 1,050 MW, which includes 310 MW of wind generation owned by AEP in Texas, long-term wind purchase agreements reached before the company’s 2007 commitment and agreements reached after the 2007 commitment.

PSO is an electric utility company serving approximately 520,000 customers in eastern and southwestern Oklahoma. Based in Tulsa, PSO has more than 4,000 MW of generating capacity, and is the largest provider of wind energy in the state. News releases and other information about PSO can be found on the World Wide Web at

American Electric Power is one of the largest electric utilities in the United States, delivering electricity to more than 5 million customers in 11 states. AEP ranks among the nation’s largest generators of electricity, owning nearly 38,000 megawatts of generating capacity in the U.S. AEP also owns the nation’s largest electricity transmission system, a nearly 39,000-mile network that includes more 765-kilovolt extra-high voltage transmission lines than all other U.S. transmission systems combined. AEP’s transmission system directly or indirectly serves about 10 percent of the electricity demand in the Eastern Interconnection, the interconnected transmission system that covers 38 eastern and central U.S. states and eastern Canada, and approximately 11 percent of the electricity demand in ERCOT, the transmission system that covers much of Texas. AEP’s utility units operate as AEP Ohio, AEP Texas, Appalachian Power (in Virginia and West Virginia), AEP Appalachian Power (in Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana and east Texas). AEP’s headquarters are in Columbus, Ohio.


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