THE COALITION OF utilities calling to "Repeal PUHCA Now!" has pulled together a first-class team of lobbyists. They have been working intensely on Capitol Hill for more than two years. But they haven't won the easy victory they thought was within their grasp when the Republicans took over the Congress in 1994. The major flaw in the coalition's approach is classic: The pro-repeal lobbyists have been tireless talkers, but poor listeners.
POWER PLANT SALE. Central Maine Power Co. has agreed to
sell its hydroelectric, fossil and biomass power plants totaling 1,185-MW of generating capacity to FPL Group, the holding company of Florida Power and Light. The sale price of $846 million exceeds book value and could permit up to a 10-percent rate cut for customers by the end of the year.
OHIO/TEXAS DEAL. Ohio-based American Electric Power
Co. and Texas-based Central and South West Corp. on Dec.
THE former chairman of the Missouri Public Service Commission, Karl Zobrist, is now a partner at Blackwell Sanders Matheny Weary & Lombardi LLP.
Zobrist resigned from the commission on Aug. 15, 1997.
Robert C. Kelly, former chairman and CEO of Enron Renewable Energy Corp., was named managing director of renewable energy for Enron International.
Steven J. Lewis joined AEP Energy Services Inc. as senior vice president of energy services. Previously, Lewis managed trading of natural gas and electricity for Duke/Louis Dreyfus LLC.
Michael P.
SOME PEOPLE WANT TO KNOW WHAT "GREEN POWER" means (em and, by extension, "environmentally friendly." Does that mean low emissions, including nuclear energy? Is renewable energy automatically green? Should the simple fact of compliance with all standards imposed by the Environmental Protection Agency afford the right to advertise power generation as green?
Consumers, agencies and state and federal officials want truth in advertising. Proponents of alternative generation claim consumers are willing to pay more for cleaner, greener energy.
Has rate regulation become obsolete for natural gas pipelines?
NO ONE LIKES TO BE TOLD THAT HE OR SHE ISN'T CEN-
tral to the job at hand. But that was part of the message that Vinod Dar, managing director of Hagler Bailly's restructuring group, told a gathering of state public utility commissioners.
Take electric utility industry restructuring, for example. At the beginning of the game, Dar said, regulators are important because they create the intellectual structure. They are also important at the end game, to codify rules.
Federal Agencies
Nuclear Plant Fines. The Nuclear Regulatory Commis-
sion has proposed fines totaling $2.1 million against Northeast Nuclear Energy Co. for many violations at the company's Millstone nuclear plant in Waterford, Conn. The fine marks the largest civil penalty ever proposed by the NRC. Northeast Utilities said it will pay the fine, which it called "a necessary and important step toward bringing to closure a very disappointing and difficult chapter in the company's history." The utility said it will not pass the cost onto ratepayers.
Electric Futures.
"Water Rates: A Second Look"
As one who has worked in the regulatory environment for the last 23 years, certain accounting treatments deserve a second look to bring us back to basics. I raise the point because of an article I recently read by Dr. Janice A. Beecher and Dr. Patrick C. Mann, "Real Water Rates," published in the July 15, 1997 Public Utility Fortnightly (p. 42). At the outset, allow me to say that the opinion expressed is my own and does not represent the official position of the Delaware Public Service Commission.
In the portion of Dr. Beecher's and Dr.
The American Gas Association elected its board of directors for 1997-98. David W. Biegler, president and COO of Texas Utilities Co., was elected chairman. Richard E. Terry, chairman and CEO of Peoples Energy Corp., was elected first vice chairman and Gary L. Neale, chairman, president and CEO of Northern Indiana Public Service Co., was chosen second vice chairman.
Beth Emery was appointed vice president and general counsel to the California Independent System Operator executive management team. Emery was previously a partner in the law firm of Sutherland, Asbil & Brennan.
Gas utility executives never tire of telling how the regulators won't let them make money any money selling gas.
Interstate Power Co., which distributes both gas and electricity in Illinois, laments that no one understands: "Almost all small volume customers do not realize that their local distribution company does not make any money on the sale of gas¼ even large transportation customers have difficulty dealing with the concept."
So why would any LDC oppose retail gas competition?