December' 12 ,'2011

The'Honorable'Harry'Reid The'Honorable'Mitch'McConnell Majority'Leader Minority'Leader
United'States'Senate United'States'Senate Washington,'DC'20510 Washington,'DC'20510

Dear'Majority'Leader'Reid'and'Minority' Leader' McConnell:

We'are' 32 investors writing'to'urge'you'and'your'colleagues'to' support'timely'implementation'of Clean'Air'Act' rules'proposed'by' the'U.S.'Environmental'Protection'Agency'(EPA) ,'most'notably'the'Cross'State'Air'Pollution' rule'(CSAPR)'and' Mercury' and'Air'Toxics'rule'(Utility'MACT)

.'' Issuing'these'regulations'will'provide'investors'and' companies'the'certainty'they'need'to'make'long

R term'capital'allocation'decisions.'' These'rules'will'drive' improved'public'health' and'create high

R paying'construction,' installation,'engineering,'and'manufacturing'jobs'

– while'retrofitting'outdated,'high

R polluting'power'plants.''We'believe'the'electric'power'industry'is'well

R positioned'to'comply'with'these'proposed'rules'without'threatening'electric'system'reliability.''

M ost'power'companies'have'been'a ssuring'financial'analysts' they'are'well'on'their'way' to' cleaning'up'their'coal' generating' fleets.''As'investors,'we'frequently'participate'in'quarterly'earnings'calls,'and'continue'to'hear'from' utility'executives'that'they are'prepared'to'comply'with'EPA'Clean'Air'Act'rules because'of'earlier'investments'in' their'generating'fleets

.'' For'example,'d uring'his'company’s'third'quarter'earnings'call,' Ralph'Izzo,'CEO'of' New' Jersey

R based'Public'Service'Enterprise'Group'(PSEG) noted

,' “ O ur'experience'shows'that'it'is'possible'to'clean' the'air,'create'jobs'and'power'the'economy,'all'at'the'same'time”

. 1'' In'a'letter'to' the'House'Energy'and' Commerce'Committee,'Robert'Flexon,'CEO'of'Texas

R based'Dynegy'wrote,'“We'fully'understand'the'perce ption' that'the'[CSAPR]'rule'works'some'unfair ness'on'certain'business'interests.''However,'we'want'you'to'know'that' this'is'not'a'uniformly

R held'position'in'the'power'sector;'rather,'it'is'a'reflection'of'particular'investment' decisions...Any'efforts'to'dela y'or'derail'CSAPR'would'undermine'the'reasonable,'investment

R based' expectations'of'Dynegy.” 2

Capital'investments'to'comply'with' these Clean' Air'Act'rules'( CSAPR and'Utility'MACT )'are'estimated'to'create' nearly'1.5'million'jobs,'or'nearly'300,000'jobs'per year'on'average'over'the'next'five'years.'' By'i nvesting'in'the' air'pollution'control' projects

, it' will'create'construction'and'manufacturing'jobs'with'an'impact'across'an' industry'supply'chain'with'over'175'companies'in'37'states.''' We'believe'investing'in'clean'air'creates'American' jobs.''

Utilities'can'comply'with'these'rules'without' impacting' electric'reliability.'' In'fact,'for'40'years,'impressive' reductions'in'air'pollution'under'the'Clean'Air'Act'have'occurred'in'conjunction'wi th'substantial'technological' innovation,'job'creation,'exports,'and'economic'growth.'' Industrial'pollution'sources'have'long'asserted'that' EPA'rules'will'be'cost'prohibitive;'however,'they'have'been'proven'wrong'time'and'again.''When'Congress' passed'the'Cl ean'Air'Act'amendments'in'1990,'industrial'and'utility'sources'of'air'pollution'warned'that'the'acid' rain'program'would'lead'to'massive'increases'in'the'cost'of'electricity,'stunting'economic'growth.''The''''''''''''''''''''''''''''''''''''''''''''''''''''''''''''' 1 “Public'Service'Enterprise'Group’s'CEO'Discusses'Q3'2011'Results'

– Earnings'Call'Transcript”,'Seeking'Alpha,'November'1,'
2011.''Available'at:' http://seekingalpha.com/article/304141

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2 Flexon,'Robert'C.'(President'and'CEO,'Dynegy'Inc.,'Houston,'TX).'Letter'to:'(Hon.'Bobby'Rush,'Ranking'Member,'Energy' and'Power'Subcommittee,'House'Committee'on'Energy'and'Commerce,'Washington,'DC).'September'12,'2011.'Available'

at:' http://insideepa.com/iwpfile.html?file=sep2011%2Fepa2011_1740b.pdfregulations,'though,'led'not'to'skyrocketing'energy prices'or'economic'collapse,'but'to'cleaner'air'and'economic' growth.

We'thank'the'Senate'for'voting'against'S.J.'Res.'27,'introduced'by'Senator'Rand'Paul'(R

R KY),'which'would'have' blocked'the'Cross'State'Air'Pollution'Rule'(CSAPR).''We'were'e ncouraged'by'the'bipartisan'response'to'this' proposal,'particularly'by'the'six'Senate'Republicans'who'voted'in'support'of' this'important'Clean'Air'Act'rule

.'' The'Senate'should'continue'to'demonstrate'its'support'for'clean'air'by'supporting'EPA'in'the'upcom ing' continuing'resolution.'

In'our'view, Congress'should' not' reward' a'handful'of'companies'that'are'seeking'to'delay'these'rules

.'' A' majority'of'the'nation’s'electric'generating'fleet'is'either'unaffected'by'these'rules'or'ready'to'comply'so'we'ask' that'y ou'support'timely'implementation'of'CSAPR'and'Utility'MACT'rules.'

Please'do'not hesitate'to'contact'me at' Stu.Dalheim@Calvert.com or' (301)'961

R 4762' with'any'questions'on'this'

matter.

Yours's incerely on'beha lf'of'the' 32 undersigned investors

,

Stu'Dalheim Vice'President,'Shareholder'Advocacy
Calvert'Investments

As'You'Sow
Calvert'Investments
Catholic'Health'East Christopher'Reynolds'Foundation Clean'Yield'Asset'Management Congregation'of' Sisters'of'St.'Agnes'General'Council' Fond'Du'Lac,'WI
Domini'Social'Investments'LLC First'Affirmative'Financial'Network,'LLC Friends'Fiduciary'Corporation Green'Century'Capital'Management Joyce'Moore'Financial'Services Mercy'Investment'Services,'Inc.
Miller /Howard'Investments,'Inc Missionary'Oblates'of'Mary'Immaculate'
Natural'Investments'LLC NorthStar'Asset'Management,'Inc. Pax'World'Management'LLC' Portfolio'21'Investments Sisters'of'Charity'of'Saint'Elizabeth Sisters'of'St.'Dominic'of'Caldwell,'NJ''''
Sisters'of'St.'Francis'of'Assisi Sisters'of'St.'Francis'of'Philadelphia Spring'Water'Asset'Management TerraVerde'Capital'Management The'Sustainability'Group'of'Loring,'Wolcott'&' Coolidge

Tri

R State'Coalition'for'Re sponsible'Investment' Trillium'Asset'Management,'LLC
Unitarian'Universalist'Association Walden'Asset'Management,'a'division'of'Boston' Trust'&'Investment'Management'Company
WilderShares'LLC Winslow'Management,'A'Brown'Advisory' Investment'Group
Zevin'Asset'M anagement,'LLC