California’s continuing uphill struggle for a market-basedsolution to its proposed restructuring of the wholesale natural gastransmission and storage business will be extended through Januaryin hopes that upwards of 75 market participants can attain anegotiated all-party settlement. A California Public UtilitiesCommission administrative law judge overseeing the statewide gascase and the CPUC President Richard Bilas indicated Wednesday (Oct.27) they were willing to allow more time.

Bilas asked a lot of questions at the beginning of a 90-minuteproceeding in San Francisco, and indicated in his comments thatearlier settlements such as the Pacific Gas and Electric Co. GasAccord for its northern California pipeline/storage system could bemodified by the outcome of these ongoing negotiations, if the CPUCfinds that such changes are “in the public interest.”

The state’s two major natural gas utilities asked for a 90-dayextension. ALJ Andrea Biren is expected to formally set the newtimetable in the next few days. The CPUC set an Oct. 27 deadlineback in September, challenging the parties to have a settlement or”real progress” toward one by this date. Southern California GasCo. requested more time, and separately Enron and Wild GooseStorage more specifically asked that any settlements be filedbefore the end of January, and a proposed subsequent timetable forCPUC hearings to resolve issues not covered in the settlement(s).

“I think the judge will be issuing a ruling in the next few daysthat outline specific dates along the line of those suggested,”said a CPUC staff member supporting the gas restructuring case.

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