Interstate Natural Gas Association of America

Special Report

Industry hopes its centralized assets aren't in the crosshairs.


 

Industry hopes its centralized assets aren't in the crosshairs.

When the topic of U.S. energy security comes up, OPEC typically springs to mind. Sure enough, following the Sept. 11 attacks on the World Trade Center and Pentagon, politicians and energy executives quickly rallied before the public for less reliance on oil supply from OPEC member nations, and for bolstering domestic energy production.

People

The Natural Gas Supply Association promoted John H. Sharp and Philip M. Budzik. Sharp, the association's chief lobbyist and counsel since 1988, became vice president, federal and state government affairs, and counsel. Budzik, previously director of research and analysis, was named vice president, federal regulatory affairs and technical analysis.

Bob Wentland joined Coherence Technology Company Inc. as research geophysicist. Wentland also is the manager of product development for CoherentVision(. Wentland's career includes 16 years with Shell Oil Co.

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.

News Analysis

We are the world's experts on contingencies," boasted Michehl Ghent, president of the North American Electric Reliability Council, appearing in Houston on Sept. 17 at the Sixth Annual DOE/NARUC Electricity Forum. It was the very day day that NERC released its first comprehensive report on readiness in the electric utility industry in correcting computer software problems associated with the dawning the next century, which for the first time will require computers, software programs and embedded chips to the use four digits to identify the year beginning with turnover from 1999 to 2000.

News Digest

Business Wire

William Catacosinos has resigned as chairman of MarketSpan Corp., the utility formed to replace the troubled Long Island Lighting Co. Catacosinos is under investigation by the New York attorney general due to a $42-million severance payment as part of the buyout of LILCO by the New York government-run Long Island Power Authority (see Public Utilities Fortnightly, August 1998, p.28).

SCT Utility Systems Inc., signed a software and services agreement worth about $13 million with the city of Seattle for the BANNER Customer Management System.

People

FERC Commissioner Vicky A. Bailey named Robert H. Solomon as her new attorney advisor for electric matters. Solomon has been with the Office of General Counsel since joining FERC in 1988. He has held key positions such as Deputy Assistant General Counsel for Electric Rates and Corporate Regulation.

AmeriGas Propane Inc. announced the election of Richard C. Gozon as director. Gozon will replace Robert C. Forney who recently retired. Gozon is executive vice president of Weyerhaeuser Co.

People

THE former chairman of the Missouri Public Service Commission, Karl Zobrist, is now a partner at Blackwell Sanders Matheny Weary & Lombardi LLP.

Zobrist resigned from the commission on Aug. 15, 1997.

Robert C. Kelly, former chairman and CEO of Enron Renewable Energy Corp., was named managing director of renewable energy for Enron International.

Steven J. Lewis joined AEP Energy Services Inc. as senior vice president of energy services. Previously, Lewis managed trading of natural gas and electricity for Duke/Louis Dreyfus LLC.

Michael P.

How Commodity Markets Drive Gas Pipeline Values

Has rate regulation become obsolete for natural gas pipelines?

On Jan. 30, FERC will hold a public conference to review the financial health of the pipeline industry. It will ask whether its regulatory framework still works; whether pipelines can still attract new capital for investment. Does rate policy threaten the financial integrity of the pipeline industry? That very question may come before the Commission. Nevertheless, FERC need not look far for an answer. If the pipeline industry should lie at risk, the cause may go no farther than the Commission itself. In fact, FERC ratemaking policy for gas transportation service now appears to jeopardize the ability of pipelines to recover costs.

People

NEW England Power, a subsidiary of New England Electric System, promoted Lawrence E. Bailey to president. Previously, Bailey served as vice president and director of generation operations.

Former Deputy Secretary of Energy, Charles B. Curtis, joined Hogan and Hartson as the director of its energy group. Susan Tomasky, former General Counsel of the Federal Energy Regulatory Commission, accepted a position with Hogan and Hartson's energy group.

Gas Restructuring: Can Distributors Repeat the Success of Pipelines?

A talk with two LDCs. First, PSE&G appears content to cede sales to marketers, Second, NW Natural intends not to give in just yet.

This much is clear: Energy utilities are headed for an unbundled future.

As states from both sides of the country implement residential and commercial natural gas unbundling, require residential choice pilot programs and grapple with electric industry restructuring, competition shows no signs of slowing. To boot, some members of Congress seem eager to give competition a national push.