New York State Public Service Commission

News Digest

FERC

GAS PIPELINES. Noting a move toward shorter-term contracts since Order 636, the FERC on July 29 issued an "integrated package" of reform proposals for the natural gas pipeline industry: (1) specific measures in a notice of proposed rulemaking on short-term transportation (transactions shorter than one year); plus (2) an open-ended request for comments in a broader notice of inquiry. RM98-10-000, 84 FERC ¶61,985 [NOPR]; RM98- 12-000, 84FERC ¶61,087 NOI].

Market Share in Generation: The Impact of Retail Competition on Investor-Owned Utilities

THE ROAD TO RETAIL COMPETITION IS A LONG ONE. HAVING realized that, utility management has quelled its initial panic and has begun to concentrate on longer-term objectives. For instance, how much market share am I likely to lose during competition's early stages? And what prices can I charge to various customer classes without incurring a loss in market share?

The answer could affect decisions about future load, asset divestiture and competitive strategies.

People

CNG Energy Service Corp. appointed Jeff Johnson senior vice president of integrated energy management. Jerome H. Dortmans was appointed vice president of financial trading and risk management.

Alan Wells was named senior vice president of finance and CFO for MidAmerican Energy Holdings Co. and its subsidiary MidAmerican Energy. Wells replaces Phil Lindner who announced his retirement. Wells also will continue to serve as president of the company's nonutility subsidiaries.

Fred D. Hafer assumed office as chairman of the Pennsylvania Electric Association.

People

Vera B. Claussen has been elected the first female president in the American Public Power Association's 56-year history. Claussen is commissioner of Public Utility District Number Two of Grant County in Euphrata, WA. Other new APPA officers include president-elect Thaine J. Michie, g.m., Platte River Power Authority, Fort Collins, CO; and vice president Walter R. McGrath, g.m., Braintree, MA, Electric Light Department.

The United States Energy Association has three new officers: P.J.

People

NorAm Energy Corp. has appointed Charles M. Oglesby president of the NorAm Trading & Transportation Group. NTTG includes NorAm's two pipelines, NorAm Field Services, and NorAm Energy Services. Oglesby was previously a v.p. of Coastal Corp. and president and CEO of Coastal Gas Services Co. William A. Kellstrom was promoted to v.p. of corporate business development. Kellstrom was previously president and COO of NorAm Energy Services, NTTG's marketing arm.

The Coastal Corp. has elected Richard G. Smead senior v.p.

People

Larry Hobart, executive director of the American Public Power Association, plans to retire on July 1, ending a 35-year career with public power. Hobart became executive director in 1986, and previously served in several management positions. Hobart also serves as v.p. and board member of the Consumer Federation of America.

Pacific Enterprises, parent of Southern California Gas Co., has restructured the company, to include a new Office of the Chairman. The new office will be headed jointly by Willis B.

New York Moves Toward Performance-based Regulation for LEC

A five-year, performance-based regulation plan for New York Telephone Co. (NYT) has been signed by the New York State Public Service Commission staff and 15 other parties. The plan calls for NYT to improve service quality, reduce prices, and foster competition in its service territory. NYT agreed to relinquish its right to file for general rate increases, but in exchange will receive increased regulatory flexibility.

The plan was negotiated over a two-year period and the PSC will review it over the next several months.