Off Peak

Each is unique, whether big or small, niche or mass-market.

Downsizing. Deregulation. Open access. That ought to boost both supply and demand for utility consultants, as unemployed middle managers seek out new careers and utilities struggle to survive in a more competitive and faster-moving environment.

However, since consultants come in many colors, which is right for you and your company?

Diversified Monoliths

As the giants of the consulting world, this category includes firms such as McKinsey, Andersen Consulting, The Big Six consultancies, and Booze-Allen.

Gas Transport Service Releases Storage to Marketers

To help gas customers take advantage of unbundled services, the New York Public Service Commission has authorized National Fuel Gas Distribution Corp. to modify its existing firm transportation service procedures to allow marketers to gain access to a share of utility storage capacity, for use in delivering the required volume of gas to the city gate.

In another ruling, the commission approved a similar, but less innovative storage proposal for firm transportation customers served by Central Hudson Gas & Electric Corp.

Court Dismisses Telephone "Rounding Up" Complaint

A New York appeals court has dismissed a claim for damages brought by a telephone consumer complaining that he had been defrauded by a local telephone carrier's policy of rounding up charges to the nearest whole-minute increment.

The consumer claimed that the carrier, NYNEX Corp., had "secretly and fraudulently" followed a policy of charging for phone calls in whole-minute increments only. The consumer charged the company with violation of the state's public utilities laws, common law fraud, negligent misrepresentation and false advertising.

Vermont Slaps Utility With Fines, Rate Reductions

Finding "a long and persistent record of misconduct and mismanagement," the Vermont Public Service Board has ordered Citizens Utility Co. immediately to reduce rates by 16.53 percent and pay fines totaling $60,000.

The board also reduced the company's return on equity from 10.5 to 5.25 percent, citing what it said were improper accounting practices, permitting failures and other bad management practices.

LDC to Recoup Loss from PUC Error On Goodwill

The Minnesota Supreme Court has ruled that Minnegasco may recover revenues it had lost when the state public utility commission improperly cut rates to recognize goodwill supposedly contributed by ratepayers to an unregulated affiliate.

An intermediate appeals court had agreed that the rate cut was improper, but had believed that the rule against retroactive rate making had barred any commission move to recoup the money for the utility.

The case involved an unregulated utility affiliate that performed appliance repair service.

Illinois Court Faults Notion of Higher Risk for ComEd

An Illinois appeals court has questioned the idea that Commonwealth Edison Co. faces a higher degree of risk than other utilities (and thus deserves a higher return on equity), but also has affirmed the "used and useful" status of the company's Byron 2 and Braidwood 1 & 2 nuclear units, as approved by the Illinois Commerce Commission in a 1995 rate case order, which had helped justify a $303-million increase in annual rates.

In Brief...

Sound bites from state and federal regulators.

Area Code Overlays. Colorado adopts overlay plan to ease telephone-number shortage in Denver area, and will introduce a single new area code over the area served by 303 code. PUC says the approved plan meets FCC requirements to ensure new area codes do not disadvantage new providers. Docket No. 97A-103T, July 29, 1997 (Colo.P.U.C.).

Water Main Extensions. Interpreting a recent policy statement, state regulators approve proposal by Pennsylvania-America Water Co.