Source: San Diego Gas & Electric

SDG&E Wins Approval For Key Electric Transmission Line

SAN DIEGO, July 8, 2004 (PRIMEZONE) -- For the second time in the past month, the California Public Utilities Commission (CPUC) has approved a key piece of San Diego Gas & Electric's (SDG&E) plan to enhance reliability in the San Diego region and to meet the growing energy needs of its customers.

Today, the CPUC granted SDG&E's request for a Certificate of Public Convenience and Necessity (CPCN) to add a much-needed electric transmission line to help ease the electricity logjam in the San Diego area. The commission's action clears the way for SDG&E to begin construction of a new 230,000-volt (230 kV) electric transmission line along its existing right-of-way from its Miguel substation in the southeast region of San Diego County to its Mission substation in Mission Valley.

"This is excellent news for our customers and for energy consumers throughout California because the project will improve regional reliability and reduce overall energy costs," said James P. Avery, senior vice president, electric for SDG&E. "We are pleased that the commission recognized the need to move forward as quickly as possible, so we can have the line in place by June 2006."

In January 2003, the state legislature returned SDG&E to its role of planning for and procuring energy resources on behalf of its customers. To meet this new role, SDG&E conducted an open and competitive solicitation in May 2003. On June 9, 2004, the CPUC approved SDG&E's regional reliability plan, which includes new renewable resources, conservation incentives for businesses and three new power plants. "Approval of the Miguel-Mission project is another positive step toward ensuring we will be able to continue to deliver safe, reliable electricity to our customers today and in the future," added Avery.

Avery said the addition of the second 230 kV line along the Miguel to Mission corridor offers a number of benefits:

  --  It improves access to more reasonably priced power for
      all Californians;

  --  It enhances capacity of the regional transmission grid
      that serves Southern California;

  --  It improves access to new sources of power within and
      outside of the region;

  --  And, it helps reduce the potential for transmission-related
      power outages.

SDG&E is a regulated public utility that provides safe and reliable energy service to three million consumers through 1.3 million electric meters and more than 800,000 natural gas meters in San Diego and southern Orange counties. Exceptional customer service is a priority of SDG&E as it seeks to enhance the region's quality of life. SDG&E is a regulated subsidiary of Sempra Energy (NYSE:SRE). Sempra Energy, based in San Diego, is a Fortune 500 energy services holding company. To learn more, go to www.sdge.com

CONTACT:  SDG&E
          Stephanie Donovan
          (877) 866-2066
          www.sdge.com