Communications

California’s two major energy agencies told a state Senate Utilities and Communications Committee last week (Feb. 10) in Sacramento that additional “energy action” is needed this year to keep the state on its current track of restoring the major energy utilities to full financial strength and increasing the electricity and natural gas systems’ reliability for the future beyond 2006.

California’s two major energy agencies assured a state Senate Utilities and Communications Committee Tuesday in Sacramento that additional “energy action” is needed this year to keep the state on its current track of restoring the major energy utilities to full financial strength and increasing the reliability of the electricity and natural gas systems in the future beyond 2006.

Its close-to-defunct risk management business, plus its former communications business and litigation costs, tacked on another large loss for Dynegy Inc.’s second quarter. The company Friday reported a net loss of $290 million, or $1.00 per diluted share, $240 million of which were connected with its former businesses.

Based on the successful completion of two revolving bank loans and a third bank loan for its communications operating lease, the credit ratings of Dynegy Inc. and its subsidiaries were removed from CreditWatch by Standard & Poor’s Ratings Services (S&P) on Wednesday.

UniSource Energy Corp. and Citizens Communications Co. (CCC) said that they have reached an initial agreement with state officials that would clear the way for UniSource Energy’s planned acquisition of Arizona gas and electric system assets from CCC.

UniSource Energy Corp. and Citizens Communications Co. (CCC) said Wednesday that they have reached an initial agreement with state officials that would clear the way for UniSource Energy’s planned acquisition of Arizona gas and electric system assets from CCC.

Williams announced an agreement to make semiannual interest payments on $1.4 billion of Williams Communications (WCG) debt and place the debt on its balance sheet this year. The deal removes the conditions under which Williams could have been obligated to come up with the entire $1.4 billion.

Bidder Communications Inc. (BIDC) said on Thursday that as part of its diversification strategy the company has acquired 100% ownership of Southern States Gas Gathering LLC of Louisiana. The acquisition gives BIDC entry into the southern energy resource market.

Kinder Morgan signed an agreement to purchase Citizens Communications’ natural gas division in Colorado for $11 million. The transaction, which must be approved by the Colorado Public Utilities Commission, will add more than 13,000 primarily residential, commercial and agricultural customers to KMI’s retail natural gas division. KMI currently serves 225,000 customers in Colorado, Nebraska and Wyoming, about 55,000 of which are located in Colorado. “This is a natural extension of our Colorado operations, as we have extensive experience serving small and rural communities, said Dan Watson, president of KMI’s retail natural gas division. “We look forward to adding these new customers to our service portfolio.” The asset purchase consists primarily of regulated gas distribution systems. In Colorado, Citizens’ serves 10,600 customers in Bent, Crowley, and Otero Counties, plus another 2,800 customers in Archuleta, La Plata, and Mineral Counties.