EXHIBIT 99-2











SECURITIES AND EXCHANGE COMMISSION
Washington, D. C.  20549



FORM 11-K
ANNUAL REPORT



Pursuant to Section 15(d) of the
Securities Act of 1934





For the fiscal year ended December 31, 2000









New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



(Full title of the plan)









Energy East Corporation



(Name of issuer of the securities held pursuant to the plan)









P. O. Box 12904, Albany, New York  12212-2904



(Address of principal executive office)





REQUIRED INFORMATION

The Tax Deferred Savings Plan for Hourly Paid Employees ("Plan") is subject to the Employee Retirement Income Security Act of 1974 ("ERISA").  Therefore, in lieu of the requirements of Items 1-3 of Form 11-K, the financial statements and
schedule of the Plan for the two fiscal years ended December 31, 2000 and 1999, which have been prepared in accordance with the financial reporting requirements of ERISA, are attached hereto as Appendix 1 and incorporated herein by reference.





SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Committee to administer the Tax Deferred Savings Plan for Hourly Paid Employees has duly caused this Annual Report to be signed by the undersigned hereunto duly authorized.



New York State Electric & Gas Corporation Tax 
Deferred Savings Plan for Hourly Paid Employees











|By | /s/Richard R. Benson                  | March 26, 2001
|-- | ------------------------------------- | --------------
|   | Richard R. Benson
Committee Member    |               
|   |                                       |               
|   |                                       |               
|By | /s/Robert D. Kump                     | March 26, 2001
|   | Robert D. Kump   
Committee Member    |               
|   |                                       |               
|   |                                       |               
|By | /s/Sherwood J. Rafferty               | March 26, 2001
|   | Sherwood J. Rafferty
Committee Member |               





APPENDIX 1



NEW YORK STATE ELECTRIC & GAS CORPORATION
TAX DEFERRED SAVINGS PLAN FOR HOURLY PAID EMPLOYEES





FINANCIAL STATEMENTS AS OF AND
FOR THE YEARS ENDED DECEMBER 31, 2000 and 1999
SUPPLEMENTAL SCHEDULE AS OF AND FOR THE YEAR ENDED
DECEMBER 31, 2000 AND REPORT OF THE INDEPENDENT ACCOUNTANTS











New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Year ended December 31, 2000





INDEX





|Report of Independent Accountants                                                                      | 1 
|------------------------------------------------------------------------------------------------------ | --
|Statements of Net Assets Available for Benefits --
  December 31, 2000 and 1999                        | 2 
|Statements of Changes in Net Assets Available for Benefits --
  Years ended December 31, 2000 and 1999 | 3 
|Notes to Financial Statements                                                                          | 4 
|Schedule H, Part IV, Line i - Schedule of Assets Held for   Investment Purposes --
  December 31, 2000 | 9 
|Consent of Independent Accountants                                                                     | 10

REPORT OF INDEPENDENT ACCOUNTANTS



New York State Electric & Gas Corporation
To The Tax Deferred Savings Plan for Hourly Paid Employees
Administrative Committee:



In our opinion, the accompanying statements of net assets available for benefits and the related statements of changes in net assets available for benefits present fairly, in all material respects, the net assets available for benefits of New York
State Electric & Gas Corporation Tax Deferred Savings Plan for Hourly Paid Employees at December 31, 2000

Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole.  The accompanying supplemental schedules of assets held for investment purposes as of December 31, 2000, is presented for the
purpose of additional analysis and is not a required part of the basic financial statements but is supplementary information required by the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income
Security Act of 1974.  The supplemental schedule has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.























PricewaterhouseCoopers LLP

Buffalo, New York
March 9, 2001

New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees
Statements of Net Assets Available for Benefits
December 31, 2000 and 1999







|                                     | 2000         | 1999        
|------------------------------------ | ------------ | ------------
|Assets                               |              |             
|Investments, at fair value:          |              |             
|Investment funds                     | $135,118,993 | $155,731,295
|Energy East Corporation common stock | 38,711,886   | 41,677,451  
|Loans to participants                | 4,293,843    | 4,285,302   
|                                     |              |             
|Net assets available for benefits    | $178,124,722 | $201,694,048









See notes to financial statements.

New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees
Statements of Changes in Net Assets Available for Benefits
Years ended December 31, 2000 and 1999





|                                                                | 2000          | 1999        
|--------------------------------------------------------------- | ------------- | ------------
|Additions                                                       |               |             
|Investment income:                                              |               |             
|Net appreciation (depreciation)in fair
    value of investments | $(34,409,237) | $6,424,668  
|                                                                |               |             
|Dividends:                                                      |               |             
|Energy East Corporation common stock                            | 1,740,681     | 1,729,151   
|Investment funds                                                | 12,297,558    | 13,477,350  
|Interest on loans to participants                               | 352,592       | 350,766     
|                                                                |               |             
|                                                                | (20,018,406)  | 21,981,935  
|Contributions:                                                  |               |             
|Employer                                                        | 1,235,021     | 1,351,625   
|Employee                                                        | 9,938,007     | 10,245,694  
|Transfers from other qualified plans                            | -             | 354,968     
|                                                                |               |             
|Total additions                                                 | (8,845,378)   | 33,934,222  
|Deductions:                                                     |               |             
|Withdrawal benefits - stock                                     | 2,478,568     | 3,348,327   
|Withdrawal benefits - cash                                      | 11,984,934    | 12,749,445  
|Transfers to other qualified plans                              | 248,291       | -           
|Administrative fees                                             | 12,155        | 7,951       
|                                                                |               |             
|Total deductions                                                | 14,723,948    | 16,105,723  
|                                                                |               |             
|Net increase (decrease)                                         | (23,569,326)  | 17,828,499  
|Net assets available for benefits at
  beginning of year        | 201,694,048   | 183,865,549 
|Net assets available for benefits at
  end of year              | $178,124,722  | $201,694,048





See notes to financial statements.

New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Notes to Financial Statements



December 31, 2000 and 1999



1.   DESCRIPTION OF THE HOURLY PAID PLAN

The New York State Electric & Gas Corporation Tax Deferred Savings Plan for Hourly Paid Employees (the Hourly Paid Plan) was established effective January 1, 1986, to provide for before-tax contributions in accordance with Internal Revenue Code
(Code) Section 401(k).

The Hourly Paid Plan is a defined contribution plan covering hourly paid employees of New York State Electric & Gas Corporation (the company), as well as the hourly paid employees of Energy East Corporation's (Energy East) family of companies that
elect to participate under the Hourly Paid Plan provisions.  Energy East, the parent corporation of the company, through its subsidiaries, delivers electricity and natural gas to retail customers and provides electricity, natural gas, energy
management and other services to retail and wholesale customers in the Northeast.

An hourly paid employee may become a participant in the Hourly Paid Plan as of the first day of any calendar month that commences after the completion of the employee's first 30 days of employment.

In connection with the 1999 sale of the coal-fired generation assets by one of Energy East's subsidiaries, net assets of the Hourly Paid Plan related to affected employees of the subsidiary were transferred to another plan, distributed to the
participant, or remain in the Hourly Paid Plan.

2.   SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The financial statements are prepared on an accrual basis and in conformity with accounting principles generally accepted in the United States of America, which require management to make estimates and assumptions that affect the reported amounts
of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements.  Estimates also affect the reported amounts of additions and deductions during the reporting period.  Actual results
could differ from those estimates.

Reclassification

Certain amounts have been reclassified on the financial statements to conform with the 2000 presentation.



New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Notes to Financial Statements



December 31, 2000 and 1999



2.   SIGNIFICANT ACCOUNTING POLICIES  (Continued)

Investments

Investments consisting of publicly traded Energy East common stock and various Putnam and Janus investment funds are carried at fair value using the closing market price on the last business day of the year.  Loans to participants are valued
at cost which approximates fair value.

The Hourly Paid Plan presents, in the statement of changes in net assets available for benefits, the net appreciation (depreciation) in the fair value of its investments which consists of the realized gains and losses and the unrealized appreciation
(depreciation) on those investments.

Contributions

Contributions to the Hourly Paid Plan are allocated to participant accounts.  Participants have full and immediate vesting rights in employee and employer contributions, investment earnings and other amounts allocated to their accounts.

Employee contributions, with certain exceptions, range from 1% to 20% of the participant's base compensation and may include overtime pay.  Subject to limitations stipulated by the Code, a participant's total contribution could not exceed
$10,500 per year in 2000 and $10,000 per year in 1999.

The company contributes solely to the Stock Fund an amount equivalent to 25% of the participant's contributions to any fund (up to 1.5% of the participant's annual base compensation as of the first day of the year). While company contributions may not
be transferred to other investment fund options, the earnings thereon may be transferred at the participant's election.

Benefit Payments

On termination of service a participant may elect either a lump sum amount equal to the value of the participant's interest in his or her account, or installments over a period permissible under the Code.  Distributions from all funds,
except the Stock Fund, are made in cash.  Distributions from the Stock Fund are made in either whole shares of Energy East common stock or in cash, as specified by the participant, except as may otherwise be determined by the Hourly Paid Plan's
administrative committee and except that the value of any fractional share shall be paid in cash.



New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Notes to Financial Statements



December 31, 2000 and 1999



1. SIGNIFICANT ACCOUNTING POLICIES  (Continued)

Benefit Payments (Continued)

As of December 31, 2000, plan assets include $23,795,825 in amounts allocated to participants who have withdrawn from the Hourly Paid Plan, due to termination, retirement or disability but for which disbursement of funds has not yet occurred.

Loans

Participants may, under certain circumstances, borrow against their account balances.  The principal amount of the loan is subject to certain limitations as defined in the Hourly Paid Plan document.  The term of the loan may not
exceed five years,

Risks and Uncertainties

The Hourly Paid Plan provides for various investment options in any combination of stocks and investment funds.  Investment securities are exposed to various risks, such as interest rate, market, and credit.  Due to the level of
risk associated with certain investment securities, it is at least reasonably possible that changes in risks in the near term would materially affect participant's account balances and the amounts reported in the statement of net assets available for
benefits and the statement of changes in net assets available for benefits.

Plan Termination

Although the company has not expressed any intent to terminate the Hourly Paid Plan, it has the right to discontinue contributions at any time and terminate the Hourly Paid Plan subject to the provisions of its collective bargaining agreement. 
 In the event of termination of the Hourly Paid Plan, the net assets of the Hourly Paid Plan are set aside, first for payment of all Hourly Paid Plan expenses and, second, for distribution to the participants, based upon the balances in their
individual accounts.

New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Notes to Financial Statements



December 31, 2000 and 1999



3.   INVESTMENTS

Contributions by the participants are invested, at the election of the participant, in one or a combination of the following thirteen funds as described by the Hourly Paid Plan administrator:(1) the Voyager Fund, which invests in a mutual fund
consisting primarily of common stock; (2) the Fund for Growth and Income, which invests in a mutual fund consisting primarily of common stock; (3) the U.S. Government Income Trust Fund, which invests in a mutual fund consisting of securities that are
backed by the full faith and credit of the United States Government; (4) the Money Market Fund, which invests in a mutual fund consisting of money market instruments; (5) the Common Stock Fund, consisting of common stock of Energy East; (6) the Index
Fund, which invests in an investment fund consisting of equity securities included in the Standard & Poor's 500; (7) the OTC and Emerging Growth Fund, which invests in a mutual fund consisting mainly of common stocks traded in the over-the-counter
market and common stocks of "emerging growth" companies listed on designated securities exchanges; (8) the International Growth Fund, which invests in a mutual fund consisting primarily of equity securities of companies located in a country other than the
United States; (9) the Janus Growth Fund, which invests in a mutual fund consisting primarily of U.S. and international common stocks; (10) the Janus Balanced Fund, which invests in a mutual fund consisting of both debt and equity securities; or (11) the
three Asset Allocation funds, consisting primarily of equity and fixed income securities.  Effective April 1, 2000, the Putnam Income Fund and the Putnam Global Growth Fund were no longer available as investment options.

At December 31, 2000, the Stock Fund contains net assets of approximately $15,684,000 that are non-participant directed as a result of the accumulation of matching contributions made by the company and the related earnings on those contributions. 
 Non-participant directed company contributions and earnings amounted to $1,235,000 and (240,826) in 2000. Benefit payments from this non-participant directed fund amounted to $990,000 in 2000.

All funds of the Hourly Paid Plan, with the exception of the Stock Fund, the Janus Balanced Fund and the Janus Growth Fund, invest in mutual funds of Putnam Mutual Funds, a subsidiary of Putnam Investments, Inc. (or in the case of the Putnam S&P
500 Index Fund, in a collective investment trust of Putnam Investments, Inc.), which represents a concentration risk.



New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Notes to Financial Statements



December 31, 2000 and 1999



1. INVESTMENTS (Continued)

Individual investments that represent 5% or more of the net assets available for benefits as of December 31, 2000, are as follows:



|Putnam Voyager Fund                  | $54,414,453
|------------------------------------ | -----------
|Putnam Fund for Growth and Income    | 35,474,993 
|Putnam Money Market Fund             | 9,732,825  
|Putnam International Growth Fund     | 11,015,020 
|Energy East Corporation common stock | 38,711,886 

Individual investments appreciated (depreciated) during 2000 and 1999 are as follows:

|Investment Option                                                      | 2000          | 1999        
|---------------------------------------------------------------------- | ------------- | ------------
|                                                                       |               |             
|Putnam Voyager Fund                                                    | $(16,547,003) | $19,289,737 
|Putnam Fund for Growth and Income                                      | 967,278       | (3,676,820) 
|Putnam U.S. Government Income Trust Fund                               | 118,120       | (223,249)   
|Putnam Money Market Fund                                               | -             | 2,943       
|Putnam Income Fund                                                     | (1,295)       | (38,998)    
|Putnam OTC and Emerging Growth Fund                                    | (11,654,270)  | 1,353,720   
|Putnam International Growth Fund                                       | (2,782,424)   | 195,559     
|Putnam Global Growth Fund                                              | 578,752       | 3,744,081   
|Janus Aspen Balanced Fund                                              | (109,944)     | -           
|Janus Aspen Growth Fund                                                | (314,442)     | -           
|Putnam Asset Allocation - Growth Portfolio                             | (1,361,066)   | 543,120     
|Putnam Asset Allocation - Balanced Portfolio                           | (658,767)     | 261,208     
|Putnam Asset Allocation - Conservative Portfolio                       | (225,110)     | 28,031      
|Putnam S&P 500 Index Fund                                              | (65,654)      | -           
|Energy East Corporation common stock                                   | (2,353,412)   | (15,054,664)
|                                                                       |               |             
|Total net appreciation (depreciation) in fair
    value of investments | ($34,409,237) | $6,424,668  

4.   INCOME TAX STATUS

The company has received a determination letter from the Internal Revenue Service, dated March 9, 2000, that the Hourly Paid Plan qualifies as a tax deferred savings plan under Sections 401(a) and 401(k) of the Code.  The Hourly Paid Plan
has not been amended subsequent to the receipt of the latest determination letter.

5.   TRANSACTIONS WITH PARTIES-IN-INTEREST

All administrative fees are paid by the participants in the Hourly Paid Plan.  Audit and legal fees are paid by the company.



New York State Electric & Gas Corporation
Tax Deferred Savings Plan for Hourly Paid Employees



Schedule H, Part IV, Line i - Schedule of Assets Held for Investment Purposes



December 31, 2000



|Name of Issuer and Title of Issue                                                               | Balance Held at
End of Year | Market
Value
|----------------------------------------------------------------------------------------------- | --------------------------- | ------------
|Capital Appreciation Fund
 *Putnam Voyager Fund                                                 | 2,275,803 shares            | $54,414,453 
|Equity Fund
 *Putnam Fund for Growth and Income                                                 | 1,813,650 shares            | 35,474,993  
|Government Obligation Fund
 *Putnam U.S. Government Income Trust Fund                           | 272,416 shares              | 3,481,483   
|Money Market Fund
 *Putnam Money Market Fund                                                    | 9,732,825 shares            | 9,732,825   
|Index Fund
 *S&P 500                                                                            | 21,288 shares               | 674,408     
|Growth Fund
 *Putnam OTC and Emerging Growth Fund                                               | 567,241 shares              | 8,037,812   
|International Growth Fund
 *Putnam International Growth Fund                                    | 444,354 shares              | 11,015,020  
|Janus Balanced Fund
 *Janus Aspen Balanced Fund                                                 | 43,240 shares               | 1,063,265   
|Janus Growth Fund
 *Janus Aspen Growth Fund                                                     | 46,516 shares               | 1,253,613   
|Asset Allocation - Growth Portfolio
 *Putnam Asset Allocation - Growth
  Portfolio              | 384,592 shares              | 4,245,897   
|Asset Allocation - Balanced Portfolio
 *Putnam Asset Allocation - Balanced
  Portfolio          | 359,445 shares              | 3,892,792   
|Asset Allocation - Conservative Portfolio
 *Putnam Asset Allocation - 
  Conservative Portfolio | 197,673 shares              | 1,832,432   
|Total Investment Fund Investments                                                               |                             | $135,118,993
|Stock Fund
 *Energy East Corporation common stock                                               | 1,966,318 shares            | $38,711,886 
|Participant Loans - interest rates
 from 6.5% to 10.5%                                          |                             | $4,293,843  

*  Denotes a party-in-interest.













Consent of Independent Accountants



We hereby consent to the incorporation by reference in the Registration Statement Form S-8 (No. 333-16201) of the Energy East Corporation of our report dated March 9, 2001 relating to the financial statements of the New York State Electric & Gas
Corporation Tax Deferred Savings Plan for Hourly Paid Employees, which appears in this Form 11-K.







PricewaterhouseCoopers LLP



Buffalo, New York
March 26, 2001