2008 Hurricane Season Preparations Florida Public Utilities Company May 1,2008

Florida Public Utilities Company Description Small Investor Owned Electric Utility Approximately 28,000 Customers Small Service Territory Northeast Florida Division - Amelia Island and Fernandina Beach Northwest Florida Division – Parts of Jackson, Calhoun and Liberty Counties

Hurricane Season Preparations Vegetation Management – Focus on Main Feeders and Areas with Reliability Issues Pole Replacements – Focus on Replacements of Deteriorated Poles Beach Inspections – Replaced Deteriorated Hardware along the Beach. Review Emergency Procedures Substation Inspections and Corrections

Hurricane Season Preparations Inventory Needs Evaluated to Ensure Adequate Supplies Continued Involvement with Mutual Assistance Groups Additional Manpower And Resources have been identified GIS and SCADA System Completed In Northwest Florida Division GIS Completed In Northeast Florida Division

Storm Hardening Initiatives Issues included in Docket #070304-EI and Docket #070300-EI were resolved on April 22, 2008 Initiatives for Vegetation Management and Transmission Storm Hardening will be revised based on the final decisions. Implementation of other initiatives will begin during the second or third quarter of 2008.

Storm Hardening Initiatives Pole Inspections – Visual Inspections of approximately 2800 poles completed in 2007. Detailed inspections in accordance with Storm Plan to begin in July 2008. Transmission Inspections – Visual Inspections Completed in 2007. Climbing Inspections in accordance with Storm Plan to begin during 2008. Vegetation Management – Emphasis on moving to a 3/6 year cycle with existing crews. Areas with reliability issues will be addressed. Joint Use Audits will begin during 2008 with poles loading issues identified. Company Personnel will be located at EOC’s in order to enhance communications with local governments. Forensics Data Collections procedure in being completed with contractor to be identified prior to September 2008.

Storm Hardening Projects During 2007, two projects were completed that included EWL standards in the design. During 2008, two projects to include the EWL standards will be completed. These include approximately 82 poles that provide service to critical infrastructure (Hospital and Sewer Treatment Plant)

Conclusion FPUC is adequately prepared for the 2008 Hurricane Season Decisions from recent Dockets provide the ability for the FPUC to address the initiatives and projects in an effective and productive manner. Questions???