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In Brief...

Fortnightly Magazine - February 1 1997

Sound bites from state and federal regulators.

Natural Gas Briefs

Gas Marketing Affiliates. Indiana finds no jurisdiction to regulate Proliance Energy, LLC, a brokering and energy services affiliate of Indiana Gas Co., Inc. and Citizens Gas and Coke Utility, but says it will regulate the utilities in their transactions with Proliance. Case No. 40437, Sept. 27, 1996 (Ind.U.R.C.).

Gas Regulatory Reform. Ohio proposes alternative regulatory procedures for natural gas local distribution companies. Case No. 96-700-GA-ORD, Sept. 26, 1996 (Ohio P.U.C.).

Employee Incentives. State regulators say Indiana Natural Gas Corp. cannot boost rates to recover costs of employee profit-sharing plan, as plan was not needed to recruit and retain qualified employees, and utility might never pay the bonus to employees. Case No. 40382, Oct. 2, 1996 (Ind.U.R.C.).

Disputes with Marketers. New York utilities that transport customer-owned gas must require marketers or aggregators to spell out rights for end-use customers in contract disputes; customers must affirmatively elect binding arbitration before marketers can remove disputes from jurisdiction of small claims court. Cases 93-G-0932, et al., Oct. 25, 1996 (N.Y.P.S.C.).

Gas Balancing. Public Service Co., of North Carolina, Inc., wins permission to allow its transportation customers to pool loads to determine imbalances (em a move expected to cut administrative costs and make transportation service available to a broader class of customers. Docket No. G-5, Sub 363, Oct. 2, 1996 (N.C.U.C.).

Natural Gas Vehicles. Florida approves natural gas vehicle sales service tariff for City Gas Company of Florida. Dkt. No. 960502-GU, Order No. PSC-96-1404-FOF-GU, Nov. 20, 1996 (Fla.P.S.C.).

Gas Rate Case Rules. Pennsylvania opens review of rules governing applications filed by natural gas utilities seeking to boost annual base rates by more than $1 million. Proposal would require rate applicants to respond to a standard set of industry-specific data requests. L-00940093, Sept. 20, 1996 (Pa.P.U.C.).

Electric Briefs

Corporate Reorganizations. California grants interim ok for Pacific Gas and Electric Co. to reorganize under holding company through "reverse triangular merger" with second-tier subsidiary. (PG&E's plan appears similar to those employed previously by Southern California Edison Co. and San Diego Gas and Electric Co.) Application 95-10-024, Decision 96-11-017, Nov. 6, 1996 (Cal.P.U.C.).

Restructuring Progress Reports. Virginia directs electric utilities and cooperatives to report on efforts to restructure contracts with unregulated generators; tells staff to report on retail wheeling experiments in other states, and recommend policy on electric utility service quality. Case No. PUE950089, Nov. 12, 1996 (Va.S.C.C.).

Pilot Programs. Consolidated Edison Co. of New York, Inc., may market power from outside of its franchise area as participant in retail pilot program run by Orange and Rockland Utilities, Inc., but regulators acknowledge "merit" in requiring separate subsidiary and will consider issue in separate pending docket. Case 96-E-0712, Oct. 16, 1996 (N.Y.P.S.C.).

Buy/Sell Transactions. Indiana rejects plan by PSI Energy Inc. to offer power supply choice to new and existing industrial electric customers, finding that tariff would contain features of "buy/ sell" transactions, place the state at odds with the FERC, which views buy/sell deals partly as a voluntary sale of unbundled retail transmission in interstate commerce, subject to federal jurisdiction. Case

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