Bills

Salespeople for U.S. Energy Savings Corp. falsely promised savings, circulated bogus petitions “to lower heating bills” and claimed to work for regulated utilities and the government to lure people into “some of the worst natural gas deals in Illinois history,” a consumer coalition charged in a complaint filed Monday. The company, however, denied the allegations and said it will “vigorously defend the action.”

Bills covering liquefied natural gas (LNG), bans on incandescent light bulbs and solar water heating are buried in committees in the California legislature as it moves toward its final week before scheduled adjournment Sept. 14. Only a proposal on customer-produced renewable power generation (SB 451) appeared on Thursday to have any chance of passage, according to a veteran energy industry lobbyist in Sacramento.

California’s energy policy committees in the lower house Assembly and Senate moved three energy bills on to their houses’ respective appropriations committees following action Monday and Tuesday. Included is a solar water heating bill designed to make a concerted run at displacing natural gas-fired water heating, which is the most common source of water heating in the state (see Daily GPI, April 25).

The Michigan Public Service Commission (MPSC) last week approved a surcharge on Michigan Consolidated Gas Co. bills, beginning on Jan. 1, to recover uncollectibles expenses.

Pacific Gas and Electric Co. sent its customers some early holiday cheer Thursday, announcing that natural gas bills in December will take a 15% plunge compared to the same month last year, and the wholesale cost of gas is down sharply on the same December 2005-to-December 2006 comparison. Wholesale charges in December also are down 2%-3% compared with November levels.

Costa Mesa, CA-based Commerce Energy Group Inc., which bills itself as the nation’s largest independent retail energy provider, announced Tuesday it has signed a major natural gas supply agreement with the Los Angeles Unified School District (LAUSD), the nation’s second largest public school system. Commerce officials refused to give any details on the volumes or terms of the gas supply deal, which starts in July. The agreement covers 217 campuses within the LAUSD.

As part of a series of expanded programs by utilities in the state to help buffer customers from this winter’s expected high natural gas bills, Pacific Gas and Electric Co. Wednesday announced it has doubled the funds available for its low-income assistance program, REACH (Relief for Assistance through Community Help), to $3 million through launching a pledge drive among its customers and employees. As a result maximum aid to qualifying low-income customers will be increased to $300/household, compared to its previous $200 limit.

The Energy Information Administration (EIA) in November has revised downward its projection on rising winter heating costs. Bills for households fueled by natural gas are now expected to rise 41% ($306 more per household) rather than the 48% hike ($350 more per household) EIA predicted in October.

With natural gas consumers across much of the U.S. facing potentially steep increases in their natural gas bills this winter, an energy attorney and former FERC general counsel, on Wednesday predicted that “at some point soon we will see somebody in Congress call for the reregulation of natural gas wellhead prices.”