Maryland Governor Parris N. Glendening signed into law electricderegulation legislation and related tax bills. The legislationenables the Maryland Public Service Commission (PSC) to moveforward on the details of how the state’s power industry will bederegulated. “I am pleased that the legislature responded to myproposal to include a mandated rate reduction for Marylandresidential homeowners in the bill to protect consumers fromunintended rate increases,” Glendening said in an earlier statementregarding the bill. “Frankly, I wish the reduction was more than3%. I also wish that stronger environmental provisions had beenincluded. The General Assembly has strongly indicated, however,that they believe this proposal is the best that can beaccomplished, and this bill is too important for Maryland’s futureto hold up further.” The law will phase in residential customerchoice over a three-year period beginning with one-third ofresidential customers July 1, 2000. Residential customers choosingto keep their utility as supplier would get rate cuts between 3%and 7.5% to be determined by the PSC. The rate cuts would last fouryears and then rates would be deregulated. Six utilities serveMaryland, including Allegheny Power, Baltimore Gas and Electric,Conectiv, Potomac Electric Power, Choptank Electric Cooperative,and Southern Maryland Electric Cooperative.
Bills
Articles from Bills
Producer Relief Pending In Texas Legislature
Companion bills have been introduced in the Texas legislature togive small producers a break on gas and oil severance taxes inlight of foundering commodity prices. If enacted, legislation wouldtrigger a temporary suspension of severance taxes on productionfrom certain wells.
Producer Relief Pending in TX Legislature
Companion bills have been introduced in the Texas legislature togive small producers a break on gas and oil severance taxes inlight of foundering commodity prices. If enacted, legislation wouldtrigger a temporary suspension of severance taxes on productionfrom certain wells. Relief would be triggered if the three-monthaverage price for gas hits $1.89/Mcf (NYMEX) or $15/barrel (NYMEX)for oil.. When the price trigger is reached, the severance taxwould be suspended until the three-month average rises above thetrigger price. Severance tax relief would apply to oil productionfrom leases with wells averaging 15 barrels/d or less and to gasproduction from leases with wells averaging 90 Mcf/d or less. Ifpassed by the legislature, the measure would take effectimmediately and last until Aug. 31 or until $45 million in taxrelief has been granted, whichever comes first.
Columbia Files to Offer Choice to 1.3 Million Customers
After 30% of its gas customers saved $7 million (11%) on theirgas bills through a customer choice pilot in Toledo, OH, last year,Columbia Gas of Ohio decided the results were too good to withholdfrom the rest of its customer base. The Ohio utility filed anapplication with the Ohio Public Utility Commission late Tuesday toallow the rest of its 1.3 million customers to choose alternativesuppliers.
