Exhibit 99.1


Wednesday, April 3, 2002                                Contact:  Andrea Smith
FOR IMMEDIATE RELEASE                                             702/367-5683

Sierra Pacific Resources Plans Legal Appeals and Initiates Cost Reductions in
Response to Commission Order in Deferred Energy Case

Las Vegas, Nev. - Nevada Power Company announced today that it plans to file a
petition for rehearing and/or reconsideration of the order last week denying
nearly half of the company's deferred energy expenses from 2001. Meantime, as
part of a series of actions in response to the order, the utility's parent
company, Sierra Pacific Resources, is delaying two major projects and curtailing
others that will reduce capital expenses by at least $125 million this year.

"We believe the PUCN has erred in excluding evidence that the company's power
purchase costs were prudently incurred," said Sierra Pacific Resources chairman
and CEO Walter Higgins.

"We do not believe this decision fulfills the intent of the law passed last year
that was designed to provide assurances to our company as we took risks to
protect our consumers from the meltdown of western power markets," said Higgins.

The operating companies plan to delay construction projects and expenditures on
two major transmission projects - Nevada Power's Centennial transmission grid
near Las Vegas and Sierra Pacific Power's Falcon-Gonder transmission project in
northern Nevada - as part of a comprehensive review of capital projects and
operations and maintenance expenses. The company continues to evaluate other
cost reduction opportunities to further reduce its capital expenditures and
operating expenses. Nevada Power President Mark Ruelle said Nevada Power's
priorities are on the health and safety of customers and service reliability for
existing customers, but said it was too soon to predict what impact the cost
reductions may have on other services or new construction.

"We are determined to pursue all available remedies to address this decision,"
said Higgins. "We continue to actively consider a variety of actions to protect
our shareholders and customers as this situation develops. One of these steps is
to realign our priorities and projects to preserve our financial condition and
meet our basic obligations to our customers, investors and suppliers."

Headquartered in Nevada, Sierra Pacific Resources is a holding company whose
principal subsidiaries are Nevada Power Company, the electric utility for most
of southern Nevada, and Sierra Pacific Power Company, the electric utility for
most of northern Nevada and the Lake Tahoe area of California. Sierra Pacific
Power Company also distributes natural gas in the Reno-Sparks area of northern
Nevada. Other subsidiaries include the Tuscarora Gas Pipeline Company, which
owns 50 percent interest in an interstate natural gas transmission partnership
and several unregulated energy services companies.

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