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Atlanta Gas Light Services, the retail marketing subsidiary ofGeorgia LDC Atlanta Gas Light, reached a compromise with retailmarketers and state regulators Wednesday, and agreed to change itsname to Georgia Natural Gas Services. The company will retain theuse of its flame logo, however.

Given the “slim to non-existent gross margins” for marketers,retail gas unbundling at the state level has been a “minimalsuccess” at best so far, according to the results of a study ofmore than 100 LDCs released earlier this week.

Nicor Gas earlier this week submitted a proposal to the IllinoisCommerce Commission (ICC) that, if approved, would provide customerchoice for the first time to single-family residential natural gascustomers in the northern part of the state.

Dynegy CEO Chuck Watson attributed his company’s improved secondquarter performance to stronger margins in the wholesale gas andelectric businesses despite weaker margins in the company’s liquidsbusiness.

Temperatures that were 15.2% and 2.1% warmer than normal in thefirst and second quarters of the year, respectively, prompted theAmerican Gas Association to significantly scale back its gas demandforecast for the year. The association is projecting a 0.3% decline(0.1 quadrillion Btus -1 quad is roughly equivalent to 1 Tcf) ingas demand in 1998 to 22.6 quads in contrast to its Decemberforecast of 3.1% gas demand growth this year.

Even though construction of the intrastate Front Range Pipelinealready is in progress and work on the Front Runner Pipeline isexpected to start “fairly soon,” the sponsors have disclosed thatthey are continuing discussions to possibly combine the two rivalprojects into a single pipeline to serve the growing Colorado gasmarket.

The Natural Gas Supply Association (NGSA) voiced its support forfuel- and generation-neutral nitrogen oxide requirements proposedby the Environmental Protection Agency (EPA).

Cinergy Corp. took a huge step in growing its commoditymarketing operation yesterday with the purchase of Producers EnergyMarketing, LLC, (ProEnergy) from owners Oryx Energy and ApacheCorp. for $42.5 million and with the signing of a 10-year marketingalliance that covers both producers’ entire marketable gas supply,or about 1.1 Bcf/d.

A last-minute protest by Scana Energy Marketing to a requestedwaiver by Atlanta Gas Light to allow assignment of some of itsupstream pipeline capacity as part of the Georgia unbundling planmay have been a factor in derailing FERC action last week.