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Fuel

Industry Briefs

Watertown Municipal Utilities chose Tenaska Marketing Venturesof Omaha, NB, to be its gas transportation and fuel manager for thenext five years. Watertown will buy about 8 Bcf of gas from Tenaskaover the contract term. The utility recently finished constructinga five-mile pipeline directly connecting it to Northern BorderPipeline. Previously, the utility moved gas on Northern Natural.Thecombined gas, electric and water utility serves about 20,000 innortheast South Dakota.

December 1, 1999

Transportation Notes

Public Service Co. of Colorado and Cheyenne (WY) Light Fuel andPower will continue to refuse imbalance payback gas at leastthrough today’s gas day. If operational constraints from warmregional weather continue, the two utilities said, the paybackrestriction will be extended.

November 18, 1999

New SC Power Plant Doubles MW

South Carolina Electric & Gas will replace coal-burninggenerating equipment at its oldest fossil fuel facility in Aiken,SC, with two natural gas-fired turbines generating 150 MW each. The$180 million project at the Urquhart station will be designed andbuilt by Duke/Fluor Daniel for completion in June, 2002.

September 27, 1999

New South Carolina Power Plant Doubles MW

South Carolina Electric & Gas will replace coal-burninggenerating equipment at its oldest fossil fuel facility in Aiken,SC, with two natural gas-fired turbines generating 150 MW each. The$180 million project at the Urquhart station will be designed andbuilt by Duke/Fluor Daniel for completion in June, 2002.

September 24, 1999

Texas Boosting Gas-Fired, Distributed Generation

Gas-rich Texas is moving to include preferences for the fuel andfor distributed generation in electric industry restructuring.

September 20, 1999

Transportation Notes

El Paso will take the Gallup (NM) Station’s B turbine down forsix hours today to calibrate fuel controls. Capacity out of SanJuan Basin will be reduced by 80 MMcf/d for today’s gas day only.

July 21, 1999

Transportation Notes

Public Service Co. of Colorado and Cheyenne (WY) Light Fuel& Power will implement Operational Balancing Procedures in allareas effective Saturday and Sunday. The effect is to requireshippers to cut nominations to a level that does not exceedestimated daily consumption taken from a previous “Model Day” (inthis case July 4, 1999). Imbalance paybacks will not be allowedduring the OBP period.

July 16, 1999

Midwest Generation Formed to Run ComEd Plants

Edison Mission Energy, an Edison International companyestablished Midwest Generation EME LLC to own and operate Illinoisfossil-fuel electric generating plants to be acquired fromCommonwealth Edison later this year. Midwest Generation EME alsowill operate a coal-fired power plant in Homer City, PA, which wasacquired earlier this year.

June 10, 1999

LG&E Utilities Implementing PBR

LG&E Energy Corp. utility subsidiaries Louisville Gas andElectric and Kentucky Utilities received orders from the KentuckyPublic Service Commission (PSC) implementing performance-basedratemaking (PBR) effective July 2.

April 16, 1999

Edison International Buying ComEd Power Plants for $5 B

Edison International’s wholly-owned independent power subsidiarywill acquire all the fossil-fuel generating assets of CommonwealthEdison. The company will pay about $5 billion for a package of coaland gas-fired plants with total capacity of 9,772 megawatts (MW).Edison Mission Energy has also committed to build 500 MW ofgas-fired generating capacity in Chicago.

March 24, 1999