Cross Hudson Cable Seeks Restoration in NYISO Queue

LINDEN, N.J., Sept. 24 /PRNewswire/ -- Cross Hudson Corporation and In- City I, LLC (CHC) filed a petition September 21, 2007 for rehearing with the Federal Energy Regulatory Commission (FERC) seeking a rehearing, clarification and restoration of the project placement in the New York Independent Systems Operator (NYISO) queue related to the Commission''s August 22, 2007 order in Hudson Transmission Partners, LLC v. New York Indep. Sys. Operator, Inc., 120 FERC 61,179 (2007) (August 22 Order) (Docket No. EL07-70- 000).

"We believe that the law and the facts as presented by CHC will enable FERC to restore the project to appropriate placement in the NYISO interconnection queue," stated Paul Rich, Chief Development Officer of CCH Holdings Group, LLC, parent company of Cross Hudson Corporation and In-City, I LLC. As outlined in today''s petition, CHC asserts that the Commission erred when it ordered the Cross Hudson project removed from position 93 in the NYISO interconnection queue based on the Commission''s rejection of the NYISO''s interpretation and implementation of section 3.6 of the NYISO open-access transmission tariff (OATT).

"Further," Rich continued, "CHC is supported by the NYISO itself who on July 5, 2007, answered and urged FERC to deny Hudson Transmission Partner''s complaint which resulted in the August Order." "In its answer, the NYISO explained that it had maintained Cross Hudson''s queue position because [Cross Hudson] has at all times satisfied the requirements of the NYISO''s tariffs," explained Rich.

At the time of the August 22 Order and NYISO''s subsequent removal of the project from the interconnection queue, Cross Hudson was prepared to begin construction as early as the fourth quarter of 2007. If the NYISO and Cross Hudson are successful on rehearing, Cross Hudson is still prepared to begin construction in the first quarter of 2008.

Mr. Rich, who recently joined CCH Holdings Group, and formerly was Chief Operating Officer of Neptune Regional Transmission System LLC states, "I am very pleased to have joined the Cross Hudson Project, which is the project best positioned to provide new capacity to New York City given its fully permitted status."

CCH Holdings Group, LLC acquired Cross Hudson Corporation and In-City I, LLC and its permitted Cross Hudson Project from PSEG Power LLC in 2006. CHC proceeded with NYISO interconnection approval and development activities in order to initiate construction in late 2007, with a proposed completion date in late 2009. This is the only proposed power project for the New York City area that has the ability to be in service to meet the near term power demands projected by PlaNYC 2030.

The Cross Hudson Project, a proposed 345 KV generator lead from New Jersey to New York City, has been under development since 2001. The proposed generator lead originates in Ridgefield, New Jersey at the Bergen Unit 2 site, owned by PSEG Power LLC. The feed would terminate at the Consolidated Edison Company''s substation at West 49th Street in Manhattan, supplying electricity to the New York City market and particularly Manhattan.

The line will be installed on privately acquired right of way within New Jersey. It will run under the bed of the Hudson River, and make landfall in Manhattan at Pier 94. It will then run underground under lands owned by the City and State of New York and beneath 12th Avenue into the ConEd W.49th Street substation. The line will be approximately eight miles in length from the Bergen plant to West 49th Street, and will be underground for its entire distance. The Project has obtained all of its required key permits including a NYS Public Service Commission Article VII Certificate (2003, amended 2004), and a U.S. Army Corps of Engineers Clean Water Act section 404/Rivers and Harbors Act section 10 permit (2004). In addition, the Cross Hudson project has held position 93 in the 2006 Class Year at the New York System Operator (NYISO), which would have enabled it to receive an Interconnection Agreement from the NYISO this year for the interconnection at West 49th Street.

A copy of the petition may be viewed at the FERC web site www.ferc.gov under documents and filings, or may be provided upon request.

Source: CCH Holdings Group, LLC; Cross Hudson Corporation and In-City I, LLC