Time Warner Hits Local Telephone Markets

The Ohio Public Utilities Commission (PUC) has approved an application by Time Warner Communications of Ohio, L.P. to operate as a local exchange carrier in 37 counties in the state. The communications company already

provides cable television service in most of the counties. The PUC will wait to authorize the company to begin switching telephone calls until a separate docket resolves a number of generic issues associated with the advent of competition in the local telephone market.

R.I.: Competition Must Reduce Rates for All

Working to identify a set of specific issues for consideration in its investigation of competition and open access for the electric industry, the Rhode Island Public Utilities Commission (PUC) has refused to permit additional costs for environmental improvements and the development of renewable resources.

Retail Wheeling Rates Upheld

The Michigan Public Service Commission (PSC) has denied requests to modify its newly instituted retail wheeling experiment (see 161 PUR4th 441). However, the PSC did clarify its ruling to permit a form of "self-service" wheeling by the Dow Chemical Co. (em a limited partner, along with Consumers Power Co., in the Midland Cogeneration Venture (MCV). Dow had asked the PSC for an exemption from restrictions on participation by utility affiliates as third-party providers in their own service territory.

Utility Impedes Competition in Ohio

The Ohio Public Utilities Commission (PUC) has concluded that an Ohio Edison Co. contract to provide thermal cooling service to the Mahoning County Jail, at revenues below the actual cost of providing service, was negotiated for the purpose of destroying competition. A competing thermal services company, Youngstown Thermal Limited Partnership, had alleged that Edison proposed to engage in the cooling business without PUC authorization and at a below-cost rate that violated PUC rules.

Wash. Champions Ratepayers Over Competition

The Washington Utilities and Transportation Commission (UTC) has issued an interim policy statement in its ongoing inquiry into regulatory tools to encourage the development of new resources by regulated monopoly utilities.

Md. Rejects Restrictions on Diversification

The Maryland Public Service Commission (PSC) has decided against requiring regulated utilities to obtain prior approval for nonutility activities or diversification plans. The PSC also rejected a proposal that utilities pay a royalty to consumers of regulated services to account for

intangible benefits gained by the unregulated subsidiaries. The case involved complaints regarding merchandise and appliance services provided by Baltimore Gas and Electric Co. (BG&E).

Otter Tail Decries Public Power Bids

The Natural Gas Competitiveness Act of 1995 has been introduced in the U.S. House of Representatives. Authored by Reps. Lamar S. Smith (R-TX) and John Bryant (D-TX), the bill would give independent producers an opportunity to avoid antitrust laws and join together in cooperatives to market their natural gas directly to the end user.

"Forty percent of the natural gas produced in the United States is by small, private companies with fewer than 10-15 employees," said Denise Bode, president of the Independent Petroleum Association of America.

Coalition Demands Congressional Action

The Federal Energy Regulatory Commission (FERC) plans to investigate the membership requirements set by the Mid-Continent Area Power Pool (MAPP), especially as they pertain to power marketers (Docket Nos. ER94-1529-001 and 002, and EL95-77-000).

The FERC found last December that certain MAPP membership criteria are framed in terms of traditional utility attributes (em e.g., ownership of generation and transmission facilities, interconnected operation, system load and related reserve obligations (em that entities such as power marketers do not possess.