PECO Energy Co. has filed its "Open Market Plan" at the Federal Energy Regulatory Commission (FERC) for restructuring the Pennsylvania-New Jersey-Maryland (PJM) power pool. PECO is the only member not joining a majority PJM restructuring order filed July 24 with the FERC.

The plan proposes an independent system operator (ISO) and electric transmission service priced on a regional, postage-stamp basis. The wholesale market would be based on bilateral transactions, with a residual pool for hourly energy.

The Interstate Natural Gas Association of America (INGAA) has released a background report from its rate and policy analysis department that compares natural gas and electric restructuring costs. INGAA feels the gas industry experience offers lessons for federal and state regulators as they debate potential stranded costs from electric industry restructuring.

INGAA notes that the interstate pipelines had to adopt open access and provide their customers with choices before their stranded-cost liabilities were settled.

Sec. O'Leary says "strategic alignment" is trimming the budget;

GAO remains unsure whether Department is "truly committed."

Department of Energy (DOE) officials and like-minded politicians joined to defend the agency against Senate and House bills that would dismantle the department (em and its $17-billion annual price tag.

On September 4, the Senate Committee on Energy and Natural Resources conducted hearings on S. 1678, The Department of Energy Abolishment Act.

There's more to meeting marketing challenges than first meets the eye.

Imagine you've just taken over as chief executive officer (CEO) of a $1-billion gas utility in a major metropolitan market.

In August, the Federal Communications Commission (FCC) issued rules to show how new competitors can enter the local markets for telecommunications (em forever relegating local telephone monopolies to that switchboard in the sky.

The Office of the Ohio Consumers' Counsel has gone on record at the Ohio Public Utilities Commission (PUC) as opposing any application by Cincinnati Bell Telephone Co. to amend its present alternative regulation plan to set rates using a price cap tied to the consumer price index, and to deaverage rates.

The Consumers' Counsel claims that the amendment must be considered as a new plan due to the substantive changes it proposes. It adds that, if enacted, the changes would impose rate hikes and discourage consumer choice for local calling.

Ralph R. Mabey, trustee in the Chapter 11 bankruptcy proceedings of Cajun Electric Power Co-op., has entered into an amended asset-purchase agreement with Louisiana Generating LLC for the purchase of Cajun's nonnuclear assets. Louisiana Generating LLC is the joint-venture affiliate of NRG Energy, Inc. and Zeigler Coal Holding Co.

The NRG/Zeigler bid was selected in April, but on July 15, the bankruptcy court rejected the plan's buyer-protection provisions.

Niagara Mohawk Power Corp. (NiMo) has offered to terminate 44 contracts, constituting 90 percent of electricity bought from independent power producers (IPPs), in exchange for a combination of cash and securities.

NiMo claimed the move would allow implementation of its PowerChoice proposal, which would permit customers to choose their electric supplier. The plan calls for NiMo to create a separate, nonnuclear generating company. Although details remain confidential, NiMo chairman and CEO William E.

Rhode Island Gov. Lincoln Almond has signed the state's new legislation on electric restructuring, known as "The Utility Restructuring Act of 1996" (Public Law Chapter 316), which mandates customer choice by July 1, 1998, or sooner if neighboring states offer retail access before that time.

The law authorizes a 2.8-cent-per-kilowatt-hour stranded-cost surcharge, but allows compensation only for those assets that the Rhode Island Public Utilities Commission (PUC) deems eligible for recovery in prior rate cases or settlements.

A 400-page report by Virginia State Corporation Commission staff concludes that Virginia's best interest will be served by a slow and carefully analyzed move toward electric utility competition, rather than by immediate, massive restructuring.