Entergy

T&D Reliability: The Next Battleground in Re-Regulation

PUCs turn their attention to what they can still control.

The battleground has shifted. Utilities that last year worried about winning customers in pilot programs for retail choice now face public audits on the reliability of transmission and distribution.

With rate cases in remission, no nukes on order and generation planning left to the market, public utility commissions are turning their attention to what they can still regulate. That means service quality. Nor are PUCs the only ones involved.

Special Report

Hoecker, Trebing see advantages in economies of scale.

Will New York's proposed independent system operator fall victim to the FERC's evolving RTO process?

"It has some conceivable drawbacks," FERC Chairman James J. Hoecker told attendees at the 30th Annual Institute of Public Utilities Conference. "One is that it's a single-state ISO and in the final analysis, regional transmission organizations probably need to cover broader geographical areas."

Hoecker used the forum at the Dec.

News Digest

State PUCs

Distributed Generation. California opened a rulemaking proceeding to consider regulatory reforms in electricity distribution service, with a possible focus on distributed generation. The commission emphasized that its intent was not to define new policies, but to gather information. Comments are due March 17, and the commission intends to consider a proposal from the assigned commissioner this summer. Rulemaking 98-12-015, Dec. 17, 1998 (Calif. P.U.C.).

Gas Transportation Rates.

Price Spike Redux: A Market Emerged, Remarkably Rational

The post-mortems on last summer's price spikes in the Midwest are in. At least three studies of the event diverge in their conclusions:

First, on Sept. 24 of last year, the staff of the Federal Energy Regulatory Commission found the root cause of the spikes in extreme weather and unexpected outages. It observed no direct evidence of market manipulation and concluded that the events were unlikely to recur.

People

Mary L. Schapiro, president and member of the board of the National Association of Securities Dealers Regulation Inc., or NASDR, was appointed to the Cinergy Corp. board of directors. Schapiro will fill the vacancy resulting from the retirement of Van P. Smith, chairman of Ontario Corp.

U.K. electricity regulator OFFER (Office of Electricity Regulation) appointed Brian Saunders, Ph.D., a member of the Electricity Pool, to head the Department of Trade and Industry/OFFER team to reform electricity trading.

Score a Deal? 20-Odd Mergers in Search of a Policy

As utility takeovers break new ground, the FERC ponders proposed rules, perhaps already out of date.

A year ago, when U.S. Antitrust Czar Joel Klein talked of a "window of opportunity" for electric utility mergers, he didn't predict when it would close.

And it hasn't yet.

In the 12 months leading up to January 1998, when Klein had addressed the Federal Energy Regulatory Commission through its "Distinguished Speakers" series, only the ill-timed Primergy deal had been turned down. The next year, 1998, would prove no different.

Special Report

EPA inventory opens generators to scrutiny, especially if they burn coal.

Hazardous emissions are one thing. Damaging publicity is something else-especially in the point-and-click world of Internet access.

In the coming year, the fuels that utilities choose to generate electricity will fall under a stronger media microscope. That's when coal- and oil-fired electricity generators must begin reporting information about their accumulated releases of toxic chemicals for 1998.

News Analysis

Hurdles loom in 10 states eyeing deregulation.

Lawsuits and delayed deadlines. A "go slow" approach and more studies. Stranded cost debates and commission reports that make recommendations but avoid concrete action.

With a new wave of states addressing electric competition, these are a few of the themes that have emerged in 1998. In most states, the process has been slow, though the start of competition does, in fact, appear closer in many.

People

Cheryl W. Gris´e was promoted to senior vice president, secretary and general counsel for Northeast Utilities and its subsidiaries. She replaces Robert P. Wax, who left NU to return to private law practice.

Houston Industries Trading and Transportation Group appointed Patrick J. Strange vice president, physical gas trading east division for NorAm Energy Services Inc. Strange joined the company in 1995, serving as director of gas trading.

DTE Energy Trading named Dowell Hudson director, business development and wholesale marketing.

People

NATIONAL ASSOCIATION OF Regulatory Utility Commissioners (NARUC) President Jolynn Barry Butler appointed Maureen O. Helmer, chairman of the New York Public Service Commission, to serve on the NARUC Committee on Electricity. As a member of the committee, Helmer will work with other state commissioners to develop policy positions.

Steven M. Nagy joined Detroit Edison as manager, supply chain and procurement. Nagy comes to Detroit Edison from Huntsville Electronics, the electronics division of Chrysler Corp., where he served as the division's manufacturing operations manager.