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Fortnightly Magazine - June 1 1996

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

Byline: 
Phillip S. Cross
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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.

Byline: 
Lori A. Burkhart
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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.

Byline: 
Phillip S. Cross
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