SCE&G’s transmission system, which extends over a large part of
the central, southern and southwestern portions of South Carolina, interconnects
with Duke Energy Carolinas, LLC, Duke Energy Progress, Inc., Santee Cooper,
Georgia Power Company and the Southeastern Power Administration’s Clarks
Hill (Thurmond) Project. SCE&G is a member of VACAR, one of several geographic
divisions within the SERC. SERC is one of eight regional entities with delegated
authority from NERC for the purpose of proposing and enforcing reliability standards
approved by FERC. SERC is divided geographically into five diverse sub-regions
that are identified as Central, Delta, Gateway, Southeastern and VACAR. The
regional entities and all members of NERC work to safeguard the reliability
of the bulk power systems throughout North America. For a discussion of the
impact certain legislative and regulatory initiatives may have on SCE&G’s
transmission system, see Electric Operations within the Overview section of
Management’s Discussion and Analysis of Financial Condition and Results
of Operations for SCANA and SCE&G.
CGT operates as an open access, transportation-only interstate pipeline company
regulated by FERC. CGT operates in southeastern Georgia and in South Carolina
and has interconnections with Southern Natural at Port Wentworth, Georgia and
with Southern LNG, Inc. at Elba Island, near Savannah, Georgia. CGT also has
interconnections with Southern Natural in Aiken County, South Carolina, and
with Transco in Cherokee and Spartanburg counties, South Carolina. CGT’s
customers include SCE&G (which uses natural gas for electricity generation
and for gas distribution to retail customers), SEMI (which markets natural gas
to industrial and sale for resale customers, primarily in the Southeast), municipalities,
county gas authorities, federal and state agencies, marketers, power generators
and industrial customers primarily engaged in the manufacturing or processing
of ceramics, paper, metal, and textiles.