Nov. 20, 2009

NC power company seeks wood energy RFPs

RALEIGH, NC, Nov. 20, 2009 (Press Release) - Progress Energy Carolinas today issued a request for proposals (RFP) for electricity generated from wood biomass in North Carolina.

The company is seeking 40 to 75 megawatts (MW) of capacity from wood biomass facilities starting in 2013. The request is part of the utility's efforts to increase the amount of electricity it purchases from renewable energy resources.

Progress Energy is addressing the challenges of growing energy demand, rising costs and global climate change with a balanced strategy that includes aggressive energy efficiency, innovative renewable energy resources and state-of-the-art power plants.

Potential wood biomass projects must meet the requirements of North Carolina's Renewable Energy and Efficiency Portfolio Standard and include a proposal to sell the project's Renewable Energy Certificates to Progress Energy.

Proposals received from qualified bidders will be evaluated based on cost and other attributes of the offer. Proposals in hard copy or electronic format must be received no later than 5 p.m. EDT Dec. 15, 2009. Proposals should be sent to:

Louis H. Davis

Progress Energy Carolinas

100 East Davie Street

Mail code: TPP 9A

Raleigh, NC 27601

E-mail: Louis.Davis@PGNMAIL.COM

The company will screen and evaluate proposals by Jan. 10, 2010. Short-list determination, if applicable, is scheduled for Jan. 11. Contract negotiation and award announcement are scheduled to be completed by Feb. 15, 2010.

Progress Energy reserves the right to modify the schedule as necessary. The company also reserves the right to cancel, modify, or withdraw the RFP, to reject any and all responses, and to terminate the negotiations at any time during the RFP process.

More information on the RFP is available at www.progress-energy.com/renewablerfp.