Federal Energy Regulatory Commission

The National Hydropower Association (NHA) has asked the Federal Energy Regulatory Commission (FERC) to reform its regulations governing the relicensing of hydroelectric projects. No legislation would be involved.

A new coalition of 82 varied organizations (em including businesses, consumers, environmentalists, and utilities (em has announced support for the California Public Utility Commission's (CPUC's) majority proposal to restructure the electric industry.

For a good half a century, electric regulation has meant law, accounting, and economics. But no more. Now it's all about computers, telecommunications, and file-transfer protocols. Forget about CWIP, AFUDC, double leverage, and interest synchronization. They are all irrelevant.

In an important case involving electric retail competition, the New Hampshire Public Utilities Commission (PUC) has made a series of legal rulings favoring a proposal by Freedom Electric Power Co. to purchase and resell power to end users currently served by Public Service Co. of New Hampshire (PSNH). The PUC ruled that franchises granted to electric utilities in the state are not exclusive and that the proposed activities would make the energy company a public utility if approved and implemented.

The Federal Energy Regulatory Commission (FERC) has adopted a final rule for nuclear plant decommissioning trust funds that will allow greater investment flexibility and enable funds to take advantage of changing market conditions (Docket No. RM94-14-000). The rule aims to improve the returns earned on funds contributed through wholesale electric rates, thereby decreasing the amount collected from ratepayers.

For the first time, the Federal Energy Regulatory Commission (FERC) has issued opinions disallowing income tax allowances in the cost of service with respect to income from limited partnership interests held by individuals. In Lakehead Pipe Line Co., Ltd. Partnership, the FERC found that allowing a tax allowance for limited partnerships made up of individuals would give the investors an after-tax return on equity higher than they are entitled to (Docket Nos. IS92-27-000, et al.).

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.

The U.S. Circuit Court of Appeals for the District of Columbia has upheld a Federal Energy Regulatory Commission policy allowing utilities to recover costs to switch from cash to accrualaccounting for post-retirement benefits other than pensions (PBOP) under SFAS 106.

Utility regulators in Minnesota and Nevada have opened dockets on electric utility restructuring, citing (Minnesota) the Energy Policy Act of 1992 as having lifted barriers to wholesale competition, and seeking (Nevada) recommendations on alternative ratemaking.

The Minnesota Public Utilities Commission (PUC) said it would view open competition as "one part of a continuum of possible change," from traditional vertical integration to full deregulation.