Further to the announcements of 16 July 2002 and 7 November 2002 by ScottishPower, the European Commission has confirmed that the amendments to the Nuclear Energy Agreement (NEA) outlined in the revised terms dated 15 July 2002 do not adversely affect the existing exemption of the NEA under Article 81(3) of the EC Treaty.

All the necessary regulatory approvals with respect to the revised terms have now been obtained and consequently litigation with respect to the NEA, which had been suspended, is now settled.

ScottishPower also announces that it will now account for energy supplied by British Energy under the revised terms. The full effect of these terms from 1 April 2002 to date will be recognised in the third quarter to December 2002. The benefit in the full year is estimated to be £25 million.

For further information:
ScottishPower
Andrew Jamieson            Head of Investor Relations           0141 636 4527
Colin McSeveny              Group Media Relations Manager    0141 636 4515