Court OK's Surcharge on Affiliate Payments
The Florida Supreme Court has allowed GTE Florida, Inc.
Law & Lawyers
Joules
The Tennessee Valley Authority (TVA) plans to take its first-ever private company partner to convert the Bellefonte Nuclear Plant. The two-unit plant, near Hollywood, AL, will likely be finished as a gas-fired facility. The decision not to complete the units as nuclear plants ended a 28-year policy of nuclear construction at TVA.
South Carolina Electric & Gas Co. began operating its $411-million, 385-Mw Orangeburg County plant January 15.
Pending the approval of state regulators, Puget Sound Power & Light Co. and Washington Energy Co.
Vermont Questions Telco, Competition, Network Investment
In approving a stipulated rate increase of $7.5 million for NYNEX for local exchange telephone service, the Vermont Public Service Board (PSB) nevertheless has cited several unanswered issues, including: 1) stranded investment in copper-loop facilities, 2) expenses for corporate restructuring and downsizing, and
3) improvements to network infrastructure in the state.
The PSB added that NYNEX had failed to take advantage of falling local-exchange access charges
(a primary reason for the current hike in local service rates) to cut its long-distance calling rates
LILCO Opens Gas to Competition
The New York Public Service Commission (PSC) has approved a plan, "NaturalChoice," allowing customers of Long Island Lighting Co. (LILCO) to purchase natural gas from a qualified supplier of their choice. LILCO is the first company in New York, and one of the first in the nation, to open its gas system to competition.
LILCO's commercial, industrial, and residential gas customers may now choose to purchase gas directly from brokers or to continue purchasing from LILCO.
Court Favors Rate Impact Test for DSM
The Florida Supreme Court has upheld a decision by the state commission (PSC) to test the cost-effectiveness of demand-side management (DSM) programs for the state's four largest investor-owned electric utilities by measuring the impact of the programs on rates for all consumers, whether or not they participate in DSM programs.
It held the Rate Impact Measure (RIM) test consistent with state law directives to avoid discrimination between rate classes for DSM initiatives (em more so than the Total Resource Cost (TRC) test used alone.
Orange & Rockland Asks for Choice
Orange and Rockland Utilities Inc. (O&R) has asked the New York
Public Service Commission (PSC) to approve a rate settlement that includes a proposal for a retail wheeling pilot program, "PowerPick" (Case 95-E-0491).
PowerPick would allow certain large industrial customers to choose their electric suppliers starting June 1, 1996. All other customer classes would be eligible to participate as of January 1, 1997; however, residential participation will be capped at 1,500 customers.
City Fails in Bid to Oust Electric Utility
The Ohio Public Utilities Commission (PUC) has turned down a request by the City of Clyde to oust Toledo Edison Co. as a supplier of electric service for city residents in favor of municipal service.
Wellhead Prices Drop; Electric Growth Slows
The Energy Information Administration has released its second-quarter Short-Term Energy Outlook projections. Some of its predictions for gas and electric markets:
s Normal temperatures and continued economic growth will raise total annual gas demand in 1996 to a high of 21.9 trillion cubic feet. In 1997, demand is expected to rise 2.7 percent, to 22.5 trillion cubic feet.
PUC Uphelds Selective Rate Discounting
The Maine Public Utilities Commission (PUC) has declined as a general policy to require electric utilities that award a rate discount to an individual customer to offer the same discount to the customer's competitors.
The case involved Central Maine Power Co., which had negotiated a discount with Southern Container Corp. under its alternative rate plan. Union Camp Corp., a competitor in the corrugated box business, had then asked for a comparable discount, complaining of discrimination.
Calif. Telcos Seeking Compensation
Administrative law judge Barbara Hale has recommended that the California Public Utilities Commission (CPUC) reject requests from Pacific Bell and GTE California for billions of dollars in compensation for financial losses expected from local telephone competition (Docket R95-04-043). Pacific Bell is seeking $3.7 billion over five years; GTE is asking for about $500 million.