Downsizes

The stepped-up merger frenzy of gas pipeline companies has takenits toll on the Interstate Natural Gas Association of America(INGAA), which announced Friday it was downsizing its staff inresponse to its loss of members and dues.

With two of its shippers taking released capacity instead of newspace, Northern Border has filed a request with FERC to downsizeits proposed Indiana extension project, Project 2000, and reducethe expected costs by $64 million. The reduction would mean asmaller rate increase, under rolled-in rate design, than would haveoccurred in the original project plan – a 2.06% rise versus 2.39%.

With two of its shippers taking released capacity instead of newspace, Northern Border has filed a request with FERC to downsizeits proposed Indiana extension project, Project 2000, and reducethe expected costs by $64 million. The reduction would mean asmaller rate increase, under rolled-in rate design, than would haveoccurred in the original project plan-a 2.06% rise versus 2.39%.

NUI Corp., parent company of six eastern gas local distributioncompanies, announced a restructuring plan designed to streamlinethe company in preparation for a more competitive marketplace. Theplan includes greater emphasis on nonregulated business operationsand a voluntary early retirement program offered to 88 of its 1,161employees, including four members of NUI’s executive managementteam, among them Lyle Motley, president of the company’s southerndivision. Further downsizing is expected once the companydetermines where it can achieve greater efficiencies in its effortto generate higher revenues from its nonregulated businesses.