CPUC

IEP Challenges BRPU Ruling

The Independent Energy Producers (IEP), a Sacramento-based independent energy advocacy group, has announced that it will petition for the Federal Energy Regulatory Commission (FERC) to reconsider its ruling that the California Public Utilities Commission (CPUC) violated the Public Utility Regulatory Policies Act (PURPA) by requiring two utilities to purchase power at above avoided costs (FERC Docket Nos. EL95-16-000 and EL95-19-000).

California Denies Rehearing on IntraLATA Competition

The California Public Utilities Commission (CPUC) has denied applications for rehearing and a request for a stay of its recent decision to expand intraLATA competition and redesign rates for local exchange carriers to prevent revenue losses and ensure the proper pricing of bundled competitive services. Re Alternative Regulatory Frameworks for Local Exchange Carriers, I.87-11-033; Application Nos. 85-01-034 et al., Decision 95-01-047, Jan 24., 1995 (Cal.P.U.C.). t

Phillip S. Cross is an associate legal editor of PUBLIC UTILITIES FORTNIGHTLY.

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Perspective

Despite all the talk, despite keen interest in certain industry sectors, and despite federal legislation, increased competition in the electric power industry is far from certain. Unlike other deregulated industries, electric power is primarily regulated by state public utility commissions (PUCs) (em not by a federal regulatory agency. The debate over the values and benefits of competition as opposed to regulation will have to take place over and over again.

Frontlines

The other day I read in the New York Times that evolution is dead. For humans, at least. It seems we don't have enough sabre-toothed tigers around anymore to cull the weak from the strong.

Now that doesn't mean Darwin was wrong. Few dispute his "survival of the fittest." But without the normal complement of predators, we're each as "fit" as the other. The Times article ("Evolution of Humans May at Last Be Faltering," William K. Stevens, March 14, 1995, p.

To Wheel or Deal? Electric Industrial Pricing in California

Electric restructuring weighs heavy on the mind these days. Drastic remedies are born more of hope than vision. Look at the April 20, 1994, proposal from the California Public Utilities Commission (CPUC) for mandated retail wheeling (the Electric Restructuring Order, often referred to as the "Blue Book").1

The Blue Book became a catalyst for national debate. But the Blue Book did not create the problem; it only reacted.

Learning from California's QF Auction

California's 1993 qualifying facility (QF) auction dramatically illustrates problems that can be encountered in structuring auctions for electric utility solicitations of supply-side resources from qualifying cogeneration and small power production facilities.

In the 1993 California QF auction, three California utilities were to select QFs that would be awarded long-term purchased-power contr

California Denies Rehearing on IntraLATA Competition

The California Public Utilities Commission (CPUC) has denied applications for rehearing and a request for a stay of its recent decision to expand intraLATA competition and redesign rates for local exchange carriers to prevent revenue losses and ensure the proper pricing of bundled competitive services. Re Alternative Regulatory Frameworks for Local Exchange Carriers, I.87-11-033; Application Nos. 85-01-034 et al., Decision 95-01-047, Jan 24., 1995 (Cal.P.U.C.). t

Phillip S. Cross is an associate legal editor of PUBLIC UTILITIES FORTNIGHTLY.

49

Perspective

We stand on the threshold of a new era in the electric services industry. I deliberately avoid the term "electric utility industry," because the future is not limited to the vertically integrated monopoly utility. Many utilities may already perceive the first cracks in their armor: nonutility generators (NUGs), self-generators, and energy service companies.

Competition is not in the industry's future; it is here now. Further, competition and market forces are not going to magically disappear.

People

The Southern Company named A.W. (Bill) Dahlberg chairman and CEO in addition to his current duties as president. He succeeds Edward L. Addison, 65, who is retiring after 12 years as CEO and more than 40 years with the company. Dahlberg, 54, served as president since January 1, 1994. He began his career with The Southern Company at age 19 when he joined Georgia Power, a subsidiary, as a meter installer.

Ralph Johnson was named v.p., power resources, for the Texas-New Mexico Power Co.

Frontlines

As a student of utility regulation, you will of course know the difference between the Ninth and the Tenth Amendments. If not, let's reiterate.

The Ninth permits everything that is not prohibited. The Tenth prohibits everything not otherwise permitted. The one governs the People; the other governs the Government. That's all there is. Now imagine standing on both feet behind a podium, in front of a luncheon crowd of about 100 think-tank types, and holding an audience spellbound for over an hour as you expound upon this noble topic.