electricity

With the stimulus of the state’s electricity and natural gas crunch lingering, the pace of new natural gas well drilling in the northern half of California has nearly doubled over last year, according to state officials. Notices to drill new gas wells are coming in at a pace not seen since the mid-1980s, and the total for any single year in the 1990s will soon be surpassed.

Bruce Birchman, the FERC administrative law judge (ALJ) overseeing proceedings related to possible refunds for electricity overcharges in California, last Thursday issued a revised trial schedule related to the proceeding under which he now plans to certify proposed findings of fact in mid-December.

San Jose, CA-based Calpine Corp. last week unabashedly touted its successes in the past 15 months of turmoil in California’s energy markets, noting it is a litmus test for the soundness of its corporate strategy nationally. Senior officials with the merchant power plant developer/operator also declared that the state in which it sees “tremendous opportunity” is no longer in a crisis mode.

As part of its 53 long-term electricity contracts, California’s Department of Water Resources (DWR) is shopping for a portfolio of natural gas supplies of various duration to use in about half the deals that give the state the option of providing its own fuel supplies when it can beat prevailing market rates used by its power suppliers.

Chairman designate Pat Wood III is looking for a few good energy executives to teach him and his FERC colleagues the ins and outs of the natural gas and electricity markets, specifically how to detect when something “smelly” is taking place.

As part of its 53 long-term electricity contracts, California’s Department of Water Resources (DWR) is shopping for a portfolio of natural gas supplies of various duration to use in about half the deals that give the state the option of providing its own fuel supplies when it can beat prevailing market rates used by its power suppliers.

Recent steps taken by FERC to mitigate the price of power in California and the West threaten the reliability of the electricity supply in the region and could result in power supply shortages in many areas of the West, a group of Western utilities argued on Tuesday.

U.S. energy trader Dynegy saw its second quarter income rise 60% as electricity and natural gas prices surged in North America, but as important, CEO Chuck Watson said last week he expects to see the Houston-based company continue to profit, despite sagging energy prices. Watson told analysts during a conference call that Dynegy’s capital investments are “setting up our success for the future,” reiterating that the “strategy has always been about being prepared.”

U.S. energy trader Dynegy saw its second quarter income rise 60% as electricity and natural gas prices surged in North America, but as important, CEO Chuck Watson said Tuesday he expects to see the Houston-based company continue to profit, despite sagging energy prices. Watson told analysts during a conference call that Dynegy’s capital investments are “setting up our success for the future,” reiterating that the “strategy has always been about being prepared.”