Eyed

With the pressure of an exhaustive state regulatory review andscrutiny of its neighbors, San Jose, CA-based Calpine Corp. says itis prepared to spend whatever it takes to make a 600 MW naturalgas-fired merchant power plant in its headquarters city a “model”for efficiency and environmental cleanliness among its growingfleet of gas-fired power plants nationally.

Alliant Energy Resources Inc., announced plans yesterday topartner with Corn Products International Inc., a major cornrefiner, to build a 750-MW “co-generation” facility near Chicago,IL. The plant, which will be called Argo Power LLC, will produceenough electricity to serve 225,000 average homes when completed inthree years.

In response to the rapid consolidation of the natural gas andelectricity industries, the head of a major gas pipelineassociation said he plans to initiate talks soon with otherWashington D.C.-based energy trade groups about possibly merginginto one organization.

In response to the rapid consolidation of the natural gas andelectricity industries, the head of a major pipeline associationsaid he plans to initiate talks soon with other WashingtonD.C.-based trade groups about possibly merging into oneorganization.

Located less than five miles from downtown Los Angeles, theindustrial city of Vernon sits as an attractive trophy for one ofthe two proposed natural gas interstate pipelines. Thebusiness-focused local government is finishing construction of anew municipal gas distribution system that will compete withSouthern California Gas’ existing network. By next year, there willbe duplicative gas distribution systems operating.

Regulations related to the construction of interstate gaspipeline facilities took center stage at FERC last week, with theCommission proposing on one hand two initiatives aimed atstreamlining and expediting the certificate process for newprojects, while at the same time seeking through a third measure toexplore the possibility of involving landowners earlier on in theprocess – a move that, while generally viewed as inevitable andeven necessary, could pose added headaches for gas pipelines.

Interior Secretary Bruce Babbitt yesterday announced plans tore-open a large federal reserve site in northern Alaska to oil andnatural gas exploration.

With his family in tow, Energy Secretary Federico Pena announcedMonday he plans to leave the Department of Energy (DOE) forpersonal and family reasons effective June 30th, the news of whichelicited ho-hum reactions from the natural gas industry and spurredspeculation that Deputy Energy Secretary Elizabeth Moler willsucceed him.