Exelon Corporation's electricity and natural gas utility subsidiary, Peco Energy, has allocated an additional 13%, or nearly $50 million, in its annual capital investment plan for 2008 for its regional electric and natural gas delivery operations.
Peco stated that the total capital plan in 2008 calls for $394 million, the majority of which is set aside for system upgrades and expansion to meet increased demand, new residential and commercial business and improve service reliability.
More than half of the projected capital spending supports infrastructure improvements to address increased electric and gas usage and new business, while the remainder funds upgrades for improved system performance and modernization, reliability and new technology, the company said.
In addition to the capital plan, Peco has allocated $35 million in 2008 for its vegetation management program, which involves clearing trees along 3,000 miles of overhead distribution and transmission lines each year to prevent tree contact and reduce tree-related outages. Peco said that trees were found to be the cause of 30% of all service interruptions in 2007.
Denis O’Brien, president and CEO, said: We invest heavily in our business each year as necessary to ensure we can meet the needs of our customers and improve the quality of service this year and in the future.