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For Immediate Release


Trigen - Pepco Energy Services Selected As Energy Provider

For Immediate Release
July 10, 2000

Washington, D.C. - July 11, 2000 - A partnership of Pepco Energy Services, Inc., an unregulated subsidiary of Potomac Electric Power Company (NYSE: POM), and Trigen-Washington Energy Corporation, a subsidiary of Trigen Energy Corporation, has signed a 20-year contract to provide energy services to the New Washington Convention Center in Washington, D.C.

The energy partnership is responsible for the design and construction of the central plant and will operate and maintain the plant to provide various services including hot water, chilled water, peak-shaving and emergency backup power for the New Washington Convention Center.

Trigen-Pepco Energy Services' state of the art proposal was cited by Allen Y. Lew, managing director/development of the Washington Convention Center Authority, as the rationale for choosing the Trigen-Pepco Energy Services partnership as energy provider. He said, "Trigen-Pepco Energy Services' innovative energy-saving solutions put them out in front of the competition. We anticipate a long and successful relationship as we move forward in the new millennium."

Construction is underway for the new $756-million, world class convention center, scheduled to open in March, 2003. The 2.3-million square foot facility will replace the existing convention center that is no longer adequate for the meeting space needs of the nation's capital.

The scope of the project includes 10,500 tons of chilled water capacity, 50 million BTUs per hour of hot water and four internal combustion generators, which will supply a portion of the electric power directly to selected chillers during peak electricity demands.

"This is a progressive public-private partnership that benefits the community as well as our clients. The Trigen-Pepco Energy Services proposal meets our environmental and economic goals. This arrangement allows the WCC to provide the most efficient and affordable energy services to our clients." said Lewis H. Dawley, general manager/chief executive officer of WCCA.

Pepco Energy Services president Ed Mayberry said, " We are committed to serving the Washington metropolitan area and we are very pleased to participate in the new convention center. The selection of the Trigen-Pepco Energy Services partnership recognizes our respective strengths and experience in providing cost-saving energy management services."

Richard E. Kessel, Trigen president and chief executive officer, said, "It is gratifying to add another convention center to Trigen's portfolio of 16 convention centers and arenas in cities including Baltimore, Chicago, Kansas City, Nassau, Orlando, St. Louis, Trenton and Tulsa. This sector is placing increasing importance on efficient thermal energy for their large-scale facilities and we're pleased to join with Pepco Energy Services to offer the New Washington Convention Center a creative, economical and efficient approach."

The Trigen-Pepco Energy Services joint venture was formed in 1997 to study the feasibility of serving the heating and cooling needs of downtown Washington, D.C.

Pepco Energy Services Inc. provides commercial, institutional and government customers a complete suite of integrated energy management solutions including energy assessments; energy information systems; heating, ventilation and cooling systems; lighting; project financing; gas and electricity; and energy operations and maintenance services. In 1999, Pepco Energy Services was awarded more than $500 million in energy services contracts and has completed energy efficiency projects from Connecticut to North Carolina.

Trigen develops, owns and operates commercial and industrial energy systems, using its expertise in thermal engineering and combining heat and power production to extract maximum value from fuel. Trigen's primary product is thermal energy, that produces electricity as a by-product for use in its facilities and for sale to customers. The Company serves more than 1,500 customer facilities with energy produced at 52 plants in 21 states, including industrial plants, electric utilities, commercial and office buildings, government buildings, colleges and universities, hospitals, residential complexes and hotels. During 1999, Trigen secured 14 energy-outsourcing contracts, with lifetime revenues of $2.5 billion. Trigen is wholly owned by Elyo, a subsidiary of Tractebel, Suez Lyonnaise des Eaux group's sole arm for all energy activities. Suez Lyonnaise des Eaux is a multinational utilities and infrastructure provider serving customers in 120 countries.

Except for historical information contained herein, this news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 that involve risks and uncertainties detailed from time to time in the Companies' SEC reports, including the reports on Forms 10-K for the year ended December 31, 1999.

Pepco Energy Services, Inc., is not the same company as Potomac Electric Power Company and prices and services of Pepco Energy Services, Inc., are not set by the Public Service Commission.

Point of Contact:
Don Lintvet

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