Duquesne Light Co president Wesleyvon Schack told shareholders that current state law and
regulatory policies will result in higher capital rates and
higher rates for customers.
    "Pennsylvania's recently enacted excess capacity
legislation denies shareholders the opportunity to earn a fair
return on their investment and undermines economic development
in Pennsylvania," von Schack told shareholders at the annual
meeting.
   
   Von Schack said two major bond rating agencies have recently
downgraded Duquesne's credit rating due to regulatory
uncertainty. The action will result in higher capital rates and
higher rates for customers, he said.
    He said the Pennsylvania Utility commission indicated in
its most recent rate case decision that even if newly
constructed Perry No. 1 nuclear plant was in commercial
operation, shareholders would be denied a return on their
investment in the plant. Von Schack called on shareholders to
join it and certain legislators' efforts to create a
partnership to fight these issues and resolve these problems.
     
 Reuter
