NGI The Weekly Gas Market Report / NGI All News Access

NiSource, Columbia Energy Group File at FERC

NiSource, Columbia Energy Group File at FERC

NiSource Inc. and Columbia Energy Group filed last week with the Federal Energy Regulatory Commission (FERC) for merger approval under the Federal Power Act (FPA).

The deal, announced Feb. 28, is expected to close by the end of the year (see NGI March 6). The combined company will serve more than 4.1 million customers, mainly in nine states. Operations will span the energy corridor from the Gulf of Mexico to New England, creating the largest gas distributor east of the Rockies, with wholesale and retail electric operations.

"Today's filing is our next step toward creating a super-regional enterprise with access to strategic and operational opportunities that would not be available to us as separate companies," said Gary L. Neale, NiSource CEO. "Together, we will have three elements that are key to success in the increasingly deregulated and competitive energy marketplace: increased size, scope and scale; access to strategic geographic markets, and a broad range of complementary assets."

The principal subsidiary of NiSource subject to FERC FPA jurisdiction is Northern Indiana Public Service Co. (NIPSCO). NIPSCO generates and distributes electricity to about 426,000 customers in 30 counties in northern Indiana, owns and operates four coal-fired generating stations, two hydroelectric plants and four gas-fired combustion turbine generating units, providing total capability of 3,392 megawatts. The only Columbia subsidiary subject to FPA jurisdiction is Columbia Energy Power Marketing (CEPM) Corp. Current FERC and state regulatory jurisdiction over the companies' subsidiaries will remain unchanged following the merger, according to the filing. Joe Fisher, Houston

©Copyright 2000 Intelligence Press, Inc. All rights reserved. The preceding news report may not be republished or redistributed in whole or in part without prior written consent of Intelligence Press, Inc.

ISSN © 2577-9877 | ISSN © 1532-1266
Comments powered by Disqus