Actions

With energy prices taking center stage once again, Sen. Dianne Feinstein (D-CA) and three other lawmakers have introduced legislation that seeks to provide the Commodity Futures Trading Commission (CFTC) with greater authority to oversee over-the-counter (OTC) energy trades on electronic trading platforms that currently are largely unregulated.

Mirroring actions being taken by the White House, California Gov. Arnold Schwarzenegger Monday asked the California Energy Commission (CEC), whose primary role is siting power plants and funding alternative energy programs, to investigate the causes behind the current spike in gasoline prices that has driven regular, self-service supplies above $3/gallon. Schwarzenegger made his request in a letter to CEC Chairman Joseph Desmond.

A recently filed settlement between Enron and FERC trial staff that resolves certain matters and claims tied to Enron’s actions and transactions in western energy markets over several years [EL03-180, et al.] has come under attack from the Montana attorney general and U.S. Sen. Maria Cantwell (D-WA).

The state of Connecticut challenged in federal court Tuesday the constitutionality of a provision in the new energy law that gives companies recourse to seek federal court review of state actions that block the construction of natural gas pipelines and other energy projects.

Emulating actions it took earlier in the week (see Daily GPI, Nov. 16), Pacific Gas & Electric late Thursday afternoon notified shippers that a customer-specific high-inventory OFO would be in place Friday and then expanded it to a systemwide Stage 3 high-inventory OFO for Saturday. The Stage 3 order carried penalties of $5/Dth for exceeding a 10% tolerance on positive daily imbalances.

In two separate orders implementing provisions of the energy policy act, FERC on Thursday proposed actions aimed at broadening its anti-manipulation reach in the natural gas and electricity markets and outlining its policy for assessing civil penalties. In a third order, the agency proposed a rule giving energy companies the right to challenge the findings of staff operational audits before a final order is issued.

El Paso Corp. CEO Doug Foshee, addressing concerns highlighted at last month’s annual meeting, admitted Thursday in a lengthy letter to shareholders that the financial restatements by the company this year are unacceptable. But Foshee said he would “not offer the cold comfort of an excuse.” Instead, he highlighted improvements over the past year, and said the board “wanted to provide the best assurance we can that this situation will not occur again, and to ensure that El Paso will continue on its road to recovery.”

El Paso Corp. CEO Doug Foshee, addressing concerns highlighted at last month’s annual meeting, admitted Thursday in a lengthy letter to shareholders that the financial restatements by the company this year are unacceptable. But Foshee said he would “not offer the cold comfort of an excuse.” Instead, he highlighted improvements over the past year, and said the board “wanted to provide the best assurance we can that this situation will not occur again, and to ensure that El Paso will continue on its road to recovery.”

El Paso Corp. CEO Doug Foshee, addressing concerns highlighted at last month’s annual meeting, admitted Thursday in a lengthy letter to shareholders that the financial restatements by the company this year are unacceptable. But Foshee said he would “not offer the cold comfort of an excuse.” Instead, he highlighted improvements over the past year, and said the board “wanted to provide the best assurance we can that this situation will not occur again, and to ensure that El Paso will continue on its road to recovery.”