June 2002

Freeport Completes Environmental Review of Proposed Power Plant 2 Electric Generation Project: Environmental Determination Allows Village to Proceed with Contracts, Leases, Bonding & Permitting

(Freeport, New York, June 25, 2002) - The Village Board, in the capacity of Lead Agency, adopted a "Negative Declaration", which concludes that the proposed Freeport Power Plant 2 Electric Generating Project will not have a significant effect on the environment.

"Freeport Electric is pleased that the proposed generation project at Power Plant 2 was subjected to rigorous environmental scrutiny by two nationally-reputable organizations and that our attention to project design and technology resulted in a finding of no significance to the environment." Stated Hubert Bianco, Superintendent of Electric Utilities.

An Environmental Assessment Report for the project was prepared by TRC Solutions and submitted to the Village on June 5. The report assessed the cumulative impact of the independent but adjacent Freeport and PPL projects, the natural gas pipeline, electric transmission line and Meadowbrook Switching Station. Over the past several weeks, the Village reviewed the Environmental Assessment, with input from staff in the Freeport Electric, Buildings and Public Works Departments, and Village consultants, as well as an independent third-party review of the report by ENSR International.

"The proposed project involves two state-of-the-art dual-fuel combustion turbines." Explained Mr. Bianco. "These will use natural gas as their primary fuel, with low sulfur fuel as a back up when gas supply is interrupted. The project design includes other important features that make the environmental parameters stand up to the test," he continued. "The facility stacks will be quite tall, 180' above grade to conform to the USEPA Good Engineering Practices. This enhances the dispersion of air emissions from the project. Clean fuels combined with air pollution control technology called Selective Catalytic Reduction to control NOx emissions, enable this project to achieve Lowest Achievable Emission Rates and will not exceed any USEPA or NYSDEC threshold of significance." Another key feature of the project is a 42-foot high noise attenuation wall along the project's southern boundary. "This project not only serves the electric needs of the Village of Freeport and Long Island," added Mr. Bianco, "it also protects the environmental quality and health and safety of Freeport and neighboring communities."

This Determination of Significance culminates compliance with the NY State Environmental Quality Review Act, and allows the Village and other agencies that have the authority to review, fund, permit, or enter into contracts to proceed, including but not limited to NYS Department of Environmental Conservation, NYS Department of Parks and Recreation, Nassau County, and LIPA. The process was initiated in December 2001, and a public open house was held by the Freeport Electric Department in January of this year to receive community input on the project and to identify issues of concern.