1. PJM ©2007 Transmission Planning Maryland Public Service Commission Planning Conference Mike Kormos Senior Vice President Reliability Services

2. PJM ©2007 www.pjm.com 2 Current Transmission Expansion Drivers Generation Retirements and Exports to NYC

3. PJM ©2007 www.pjm.com 3 500 kV Overloads

4. PJM ©2007 www.pjm.com 4 Allegheny Mountain Corridor Build a new 765 kV transmission line from the John Amos substation to Bedington substation and extend a twin circuit 500 kV line to a new substation in Kemptown near the Doubs- Brighton and Brighton- Conastone 500 kV lines. 15 year analysis shows that this alternative has the greatest impact on the overloads shown on the previous page. Expected in service: 6/1/12 Approximate cost: $ 1.8 Billion

5. PJM ©2007 www.pjm.com 5 Alternative Backbone Solutions Under Consideration