(September 2012) Our annual financial ranking shows some remarkable shifts among the industry’s shareholder value leaders. Despite flat demand and low commodity prices, investor-owned utilities are investing heavily in capital assets. Investment discipline and operational excellence distinguish leaders on the path to financial performance.

Utilities get little credit for their efforts to strengthen the sustainability of their businesses. But these efforts have paid dividends in stock performance, capital costs, regulatory relationships, and brand value. Capturing the greatest value for shareholders will require utilities to become better understood as socially responsible enterprises.

(March 2012) American Electric Power agrees to acquire BlueStar Energy Holdings and its independent retail electric supplier; Carlyle provides construction financing for Enova Energy; six debt issues by Energy Transfer Partners, SCANA, TVA and others totaling $3.7 billion.

(September 2009) NiSource named M. Carol Fox as president of Columbia Gas of Pennsylvania (CPA) and Columbia Gas of Maryland (CMD). TECO Energy promoted Gordon L. Gillette to president for both Tampa Electric and Peoples Gas. American Transmission elected Michael Hofbauer v.p., CFO and treasurer from interim CFO. Consolidated Edison promoted Robert Muccilo to v.p. and controller. And others...

David L. Goodin became president of Montana-Dakota Utilities and Great Plains Natural Gas. ONEOK announced three new officer appointments. Duke Energy named Bruce H. Hamilton as vice president of McGuire Nuclear Station. PJM named W. Terry Boston its new president and CEO. And others...

When FERC decided in February, in Order 890, to lift the price cap for electric-transmission customers seeking to resell their grid capacity rights in the secondary market, it cautioned against expecting a quid pro quo for gas. Was the commission just teasing?

At its open meeting on Jan. 18, 2007, FERC unanimously approved settlements with five electric utilities for a total of $22.5 million and other considerations. This action answers some important questions that energy market participants have been asking. In particular, it helps market participants connect some important dots regarding the regulatory landscape in which they must operate, but it also raises important questions that market participants would like answered.

Business & Money

Sizable gains return to the market.

 

With an average appreciation of 18.9 percent since we last ran SNL Financial's dividend data , SNL's safe dividend picks appeared to do well for any market. However, like the fine golden years of the late '90s for all things technology, recent months have returned sizable gains to investors of energy stocks-not what one would expect from slow growth, dividend-paying electric and gas utilities that make up the majority of the SNL Energy universe.

New Positions:

Virginia's State Corporation Commission (SCC) named Howard M. Spinner as director of its Division of Economics and Finance, replacing Richard J. Williams. Williams is retiring after 22 years with the commission. Spinner has been with the SCC since 1998.

The Western Electricity Coordinating Council board of directors elected Jack L. King as its chair and Ronald D. Nunnally and Tim Newton as vice chairs.

Some big utilities are looking to get bigger.

When Morgan Stanley last October asked 30 of the top 50 utility chiefs whether they expected to merge with another company in the next two years, two-thirds of them said they did. Asked whether they expected to merge within the next five years, the utility chiefs unanimously said yes.