Commission

FERC Alters Affiliat Power Marketing Policy

The Federal Energy Regulatory Commission (FERC) has revised its policy on potential abuses by affiliated power marketers, lifting restrictions on marketing transactions involving affiliates that do not have captive customers. The changes stem from a case involving USGen Power Services, L.P., an affiliate of Pacific Gas & Electric Co. (PG&E) that sought to market power to and from affiliated and nonaffiliated entities, including exempt wholesale generators (EWGs) and power marketers, but not to PG&E (Docket No.

Nuclear Fisticuffs: Senate Panel and DOE Go Around on Waste Storage

The Senate subcommittee funding the Department of Energy (DOE) may use a carrot-and-stick approach this year to push DOE into finding a quicker solution to the long- and short-term nuclear waste crisis. The debate to get the waste stored safely underground promises an appropriations war that could rival the federal budget skirmish.

Current law authorizes only a permanent repository, not interim storage. Utilities, however, claim they're running out of room to cache their waste.

Perspective

If you attended any energy conference in the past year, even one on natural gas, I am confident that at least one panel was devoted to the restructuring of the electric industry.

Illinois Contract Raises Wisconsin Ire

A 10-year wholesale power contract between Wisconsin Electric Power Co. (WEP) and the City of Geneva, IL, is raising eyebrows in Wisconsin. The result of competitive bidding, the contract sets rates some 20 percent below what the city paid WEP under a 1985 contract. WEP will pay $1 million to Geneva for an electric substation.

Frontlines

Anyone on the East Coast can tell you a good snow story this winter. Like when I looked out my front window one morning and saw a four-wheel-drive utility vehicle get stuck in the middle of my street in downtown Washington. After spinning his wheels for a while, the driver got out and began walking toward Connecticut Avenue, a main DC thoroughfare.

The driver soon returned, carrying a fresh, steaming cafe latte from Starbucks in each gloved hand. He opened the door, climbed in, and gave one cup to his passenger.

Identifying Market Power in Electric Generation

To what extent should regulation yield to market forces in setting wholesale electric prices? The Federal Energy Regulatory Commission (FERC) posed this question when it sought comments on whether open transmission access would eliminate the need for anything like traditional rate regulation.

Utilities to Monitor Cellular Radiation

Scientific studies have not indicated any

"obvious relationship" between prolonged lower-level radio frequency (RF) radiation exposure and increased disease in humans, according to the California Public Utilities Commission (CPUC). The CPUC's investigation into electromagnetic fields (EMF) and RF radiation at cellular radio telephone facilities found cellular power densities consistently below current industry exposure standards.

N.C. Approves Heat Pump R&D

The North Carolina Utilities Commission (NCUC) has authorized Duke Power Co. to implement a research and demonstration pilot project on residential geothermal heat-pump systems. The program is designed to overcome existing market barriers and will target new home builders with incentives of up to $3,500 per system to offset installation costs. According to Duke Power, program costs could be recovered from customers in future rate proceedings because participation will result in the installation of energy equipment that exceeds federal appliance efficiency standards.