The North Carolina Utilities Commission (UC) has approved a North Carolina Power Co. plan to use its special self-generation deferral rate to persuade a large industrial customer to use utility supply for a planned plant expansion rather than existing self generation facilities. The UC rejected allegations that the discount to the Weyerhauser paper plant in Plymouth, NC, must pass a stricter analysis than past cases involving rate discounting guidelines because it applies to new load.

The North Carolina Utilities Commission (UC) has completed its latest biennial proceeding to establish rates and contract terms for utility power purchases from qualifying facilities (QFs).

Genuine competition - with greater efficiency and bona fide service improvements - is not unwelcome at most utilities. But spurious competition, with inconsistencies among players in the rules of the game, is a cause of frustration for utilities and customers alike.

Regulation in the natural gas industry is evolving rapidly. And on the electric side, the current flurry of activity is likely to draw on recent gas industry experience and move even faster.

"Green pricing," at typical rates of customer participation, could expand demand for renewable energy beyond current levels by more than an order of magnitude, pushing down production costs for energy resources preferred by environmental advocates. And just as important, that expanded demand would occur outside of the regulatory framework (em matching capacity to customer needs and wants.In practice, the utility asks customers to pay rate premiums to fund the production or purchase of renewable resources.

As electric utilities move ever closer to all-out competition, senior executives are streamlining their organizations, reducing spending, and developing strategic plans to ensure their company's future success. Organizations that cannot substantiate their contribution to the company's financial bottom line risk major budget cuts.

The electric utility industry is undergoing its most profound change since Thomas Edison and George Westinghouse battled over whether the American power system should be AC or DC. In essence, that technological choice shaped the industry we know today. Edison's low-voltage, DC system would have required many small generating stations and short distribution lines. The high-voltage Westinghouse AC system promoted development

of long-distance transmission networks that deliver electricity efficiently from large, remote power plants.

This country's 350,000 manufacturers must add cutting-edge technologies to their processes to stay competitive. Yet most are small- to medium-sized companies leery of investing in new technology without first

confirming its effect on their

products.Some utilities previously had no option but to run local technology-demonstration facilities on their own (see sidebar on p.

Last year was pivotal for nuclear power. On May 13, 1994, the board of directors of the Washington Public Power Supply System (WPPSS) voted 9-4 to terminate reactors WNP-1 and WNP-3, triggering a dismantling of the two mothballed reactors, both about 70 percent complete. For ratepayers in the Pacific Northwest, the decision offered no relief from bills for construction of the two plants (em recently estimated at about $350 million per year for the next 24 years1. In many ways, WPPSS and its troubled history is a microcosm of the U.S.

With this issue I've finished up my first 12 months as full-time editor of PUBLIC UTILITIES FORTNIGHTLY. During that time, I've tried to adhere to few simple rules. If I'm lucky, I'm batting four out of five:

s Trust ideas, not facts

s Welcome different views

s Don't shy from difficult subjects

s Make it easy to read

s Take a day off now and then.

Someone once said that an editor's job is twofold: "Simplify and exaggerate." That advice may sound peculiar, but one could do worse.