Favors

In an effort to restore price certainty in the markets, FERC at a minimum should implement standards requiring jurisdictional companies to show the agency that the natural gas price indexes referenced in their tariffs and contracts are reliable, said Commissioner William Massey last Wednesday.

In an effort to restore price certainty in the markets, FERC at a minimum should implement standards requiring jurisdictional companies to show the agency that the natural gas price indexes referenced in their tariffs and contracts are reliable, said Commissioner William Massey Wednesday.

Prompted “in part by the Enron episode,” SEC Commissioner Isaac Hunt Jr. told Congress last week that the agency intends to begin an inquiry into whether it should regulate credit rating companies, as well as explore the need for greater competition within that industry.

American legislators stand warned again that they will do no favors for the proposed Alaskan natural gas pipeline if they persist in trying to nail down a route chosen by what it does for political constituencies.

FERC Commissioner Nora M. Brownell pledged her support Wednesday for a Commission investigation into charges that Enron Corp. may have manipulated energy prices in California’s forward markets, saying the agency needs to “clear up [any] lingering doubt” about this before it can begin to build a “stable, predictable market” in the western state.

Rescinding gains notched early in the session, natural gas futures plumbed to new week-and-a-half lows yesterday afternoon on the news from the American Gas Association that a meager 45 Bcf was withdrawn last week from underground storage facilities. The January contract settled at $2.616, down 4.1 cents for the session and more than a dime beneath its $2.73 high on the day. The out months sustained a more severe selling punch, led by the February contract which moved to within striking distance of the prompt month by shuffling 6.2 cents lower to close at $2.65.

U.S. Chamber of Commerce President Thomas Donohue said he favors deferring the re-opening of the stock exchanges on New York City’s Wall Street until damaged electricity and telephone grids have been repaired.

Fresh off their success in not allowing natural gas to dip below major support on Monday, natural gas bulls reared their horns yesterday as they prodded prices to a constructive opening print. However, further advances were hard to come by, leaving the market to check mostly sideways for the rest of the session. The August contract closed at $3.165, a hike of 9.7 cents on the day.

Development of clean coal and Arctic oil and gas are running high on the Bush Administration’s list, according to FY 2002 budget proposals released last Monday, which followed on statements by Vice President Dick Cheney.