California Asks Congress to Keep Its Distance
In an unprecedented act of unity, all 52 members of the California Congressional Delegation have written to the U.S.
Law & Lawyers
"Desert STAR" May Form Southwest ISO
Nine Southwestern electric utilities are investigating the feasibility of establishing a regional independent system operator.
The Desert Southeastern Transmission and Reliability Operator (Desert STAR) would be the name of the new ISO. Initial members would include: Arizona Electric Power Co-op; Arizona Public Service Co., El Paso Electric Co., Nevada Power Co., Public Service Co. of New Mexico, Salt River Project, Texas-New Mexico Power Co., Tucson Electric Power Co., and the Western Area Power Administration's Desert Southwest Region.
Gas LDC to Revamp Business Development Rates
The New York Public Service Commission has authorized Brooklyn Union Gas Co., to amend its existing business-incentive and area-development rate programs.
Brooklyn Union provides rate reductions for new or expanding businesses in 26 specified regions under the area-development program. It also has provided similar benefits for new or expanding businesses under a system-wide, business-incentive rate program.
Off Peak
Many regulators say that new technology makes it cheaper and easier to build and operate electric generating plants.
Federal Judge Hears Antitrust Complaints on Heat Pump Promotions
A U.S. federal district judge in Pennsylvania will allow a jury to hear antitrust complaints lodged by heating oil dealers challenging certain promotional activities by Pennsylvania Power and Light Co., but it will exclude from jury deliberations any consideration of whether PP&L had established a "monopoly" in the home heating market.
During the period the utility had allegedly engaged in the promotional activities, its share of the entire home heating market had never exceeded 31 percent, the court said.
Load-Management Programs Canceled
The Virginia State
Corporation Commission has authorized Delmarva Power and Light Co. to close two experimental load-management tariffs to new customers.
Nevertheless, the utility said it would continue to call upon existing program participants to mitigate system emergencies throughout the year.
One program, established in 1988, offered billing credits to customers who agreed to establish a firm service level and then curtail load to that level at the company's request during peak management billing months of June through October.
Preference for Flat Rates Drives Gas Charge Restructuring
While directing PNM Gas Services ( a division of Public Service Company of New Mexico) to reduce rates for gas service, the New Mexico Public Utility Commission has redesigned residential rates to reinstate the once-discredited notion of recovering fixed costs in the commodity charge.
In the same case, the commission also rejected recovery of discount costs and other fees the utility paid and a proposal by the utility to "rebundle" sales and transportation rates by end-use class.
The PUC ordered PNM to reduce gas service rates $6.958 million.
Utility to Invite Bidding on Its Discounted Rate Contracts
Central Maine Power Co. has agreed to allow other providers of wholesale electric power to bid for the right to supply energy to the utility for resale to utility customers who enjoy special discounted rate contracts.
It would carry out its agreement if and when the state of Maine should decide to open its retail electric market to competition.
The utility's promise to allow competitive suppliers to bid the special-rate contract load paved the way for the Maine Public Service Commission to approve new multi-year contracts offered by the utility to two large customers.
States Review Winter Gas Hikes
Two states have decided to review the high cost of gas this past winter and the effect the price hike has had on the states' gas utilities.
Florida. While granting requested rate relief on an "expedited basis" to Florida Public Utilities Co., the Florida Public Service Commission said it would conduct a prudence review of the purchased gas costs during its next scheduled PGA audit proceeding.