Press Release

Nuclear Regulatory Commission Extends Nuclear Plant License

Raleigh, NC, June 26, 2006 – The Nuclear Regulatory Commission (NRC) has issued a new operating license for the Brunswick Nuclear Plant. The NRC officially issued the new operating licenses today, which will authorize both Brunswick reactors to operate into the 2030s.

The NRC's primary mission is to protect the public health and safety and the environment from the effects of radiation from nuclear reactors, materials and waste facilities. The NRC regulates nuclear materials and facilities to promote the common defense and security.

On October 18, 2004, Progress Energy Carolinas submitted to the NRC an application to renew the operating license for Brunswick. This action concludes a licensing process that took 20 months to complete, including public hearings and nuclear unit safety inspections.

The Brunswick Nuclear Plant is located near Southport and has two reactors. Thirty-two cities in eastern North Carolina own 18.33 percent of the plant through the North Carolina Eastern Municipal Power Agency (NCEMPA). The ownership in Brunswick provides about 24 percent of the capacity and 38 percent of the energy used by the cities. With this extension, NCEMPA cities will have a continued reliable and low operating cost generation resource available to meet the needs of growing electric demand in North Carolina.

“The Brunswick Plant is a major employer and a good neighbor in southeastern North Carolina so we are pleased the plant will operate for many years and continue to contribute to the economy of our region and the state,” said Paul Fisher, Chairman of the NCEMPA Board of Commissioners. Fisher is a member of the Southport Board of Aldermen.

“This license renewal is a significant event for NCEMPA, authorizing the continued operation of the Brunswick Nuclear Plant to provide clean, reliable and affordable power for our citizens for decades to come,” said Richard Hicks, Chairman of the ElectriCities Board of Directors. Hicks is the Town Manager in Farmville.

“We are pleased to be partners with Progress Energy Carolinas. The Nuclear Energy Institute recently recognized Brunswick Plant as one of its recipients of its 2006 Top Industry Practice Award, an award given to 13 out of 109 nominations from throughout the US. This is a testament to their continued safe, reliable operation of Brunswick Plant,” said Jesse C. Tilton III, CEO of ElectriCities, NCEMPA and North Carolina Municipal Power Agency Number One (NCMPA1).

More than 70 North Carolina public power communities, municipally owned and operated electric systems, serve nearly one million residential, commercial and industrial customers in our state. Most have been providing electric service for 100 years or more. ElectriCities of North Carolina, Inc. is the service organization that provides customer service and safety training, emergency and technical assistance, communications, government affairs and legal services to public power cities. ElectriCities provides management services to the state’s two municipal power agencies: North Carolina Municipal Power Agency Number One (NCMPA1) and its counterpart in the east, North Carolina Eastern Municipal Power Agency (NCEMPA). NCMPA1 has 19 member cities and NCEMPA has 32 member cities. More information about ElectriCities, the power agencies and public power is available on the Internet at www.electricities.com or www.ncpublicpower.com.

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