Central and South West Corp. President and CEO Dick Brooks is "extremely disappointed" with a proposed decision by an administrative law judge to increase annual revenues of its subsidiary, Central Power and Light Co., by $7.2 million. CPL in November 1995 had asked for a $71-million hike in retail rates.

A significant factor contributing to the difference is that the judge recommends reducing return on equity from 12.25 percent to 10.9 percent, which would reduce the rate increase by $30 million.

The Oregon Public Utilities Commission staff has recommended the proposed merger of Portland General Electric Co. and Enron Corp. be approved with conditions, and has asked for a customer-rate reduction of $47.4 million for four years.

Subsequently, an $11.2-million rate-reduction component would remain part of electric rates until PGE's next rate proceeding. The staff would include a feature to true up rate-reduction amounts if certain future revenues exceed expectations.

The Pennsylvania Public Utilities Commission has approved final guidelines for electric utility pilot programs for Pennsylvania's transition to a competitive retail electric generating market. The pilots will allow a limited number of residential, commercial and industrial customers to choose their electric suppliers.

The "Electricity Generation Customer Choice and Competition Act," signed into law by Gov. Tom Ridge Dec. 3, 1996, requires participation in the pilots by customers representing 5 percent of a utility's peak load for each customer class.

New York Power Authority trustees have approved agreements to help it establish an independent system operator for the statewide electric transmission system, which could be partially implemented in 1997, and fully implemented by mid-1998, if approved by the Federal Energy Regulatory Commission.

Members of the New York Power Pool, the authority and the state's seven investor-owned utilities have worked for nearly two years to develop a proposal for an independent system operator, or ISO. The proposal and associated tariffs were submitted to the FERC.

Testifying before the New Hampshire Public

Utilities Commission, the CFO of Northeast Utilities, John H. Forsgren, warned that a proposed electric deregulation plan could push subsidiaries Public Service Co. of New Hampshire, and North Atlantic Energy Corp. into bankruptcy.

Consulting company LaCapra Associates gave its deregulation report and recommendations on Jan. 3 to the PUC. The Jan. 20 hearing was aimed at examining stranded costs, and what portion of its $800 million stranded costs PSNH would be allowed to recover.

Central Illinois Light Co. unveiled its electric choice bill, which, if enacted, would allow residential customers to choose their electric suppliers beginning Jan. 1, 1998. The proposed legislation appears to conflict with another competition bill introduced Nov. 19, 1996 by the Illinois Coalition for Responsible Electricity Choice, which advocates a phase in of choice from 1997 through 2005. CILCO is the only major electric utility in Illinois that is not behind the Nov. 19 bill.

The CILCO bill, "Consumer Freedom To Choose Electricity Law," was introduced on Jan.

Peabody COALSALES Co. agreed to provide Minnesota Power as much as 2.5 million tons of low-sulphur coal each year. Coal will be supplied by Peabody affiliate Big Sky Coal Co. Big Sky's contract with the power company ends in May; the new agreement runs through 1999. Terms of the deal weren't released.

The Georgia Public Service Commission begins a series of workshops on electric industry restructuring next month. The workshops will examine national efforts, consumer ramifications and environmental and energy efficiency issues. Stranded costs also will be targeted.

If truth is the first casualty of war, as we learned from author Mark Krebs ("It's a War Out There: A Gas Man Questions Electric 'Efficiency,'" December 1996, p. 24), then certainly the truth has been mutilated beyond recognition.

His article, which suggests that electric utilities have used conservation and demand-side programs improperly (to build electric load at the expense of natural gas!) is full of inaccuracies, misleading charts and other errors.

Dennis L. Haider succeeded the retiring R.J. White as president of Prairielands Energy Marketing, Inc. Haider moved over from v.p.-operations for the Williston Basin Interstate Pipeline Co., another unit of MDU Resources Group Inc. Prairielands became a subsidiary of Williston Basin when Haider took over as president.

In a related development, Ronald G. Skarphol, a special projects manager of Montana-Dakota Utilities Co., takes White's place as v.p.-marketing and business development. Montana-Dakota is another MDU division.

One of these days you may see a former chairman of the American Gas Association become the new chair of the Edison Electric Institute. Or maybe the other way around.

I broached this subject the other day when I found myself downtown at EEI headquarters on Pennsylvania Avenue, talking with some association reps.