Hurt

Tankers laden with liquefied natural gas (LNG) navigating the waters of Narragansett Bay in Rhode Island would hurt the state’s economy by interfering with recreational boating, the seasonal tourism trade, commercial fishery operations, ferry operations and cruise ships, according to studies released this week.

High natural gas prices and narrowed spark spreads in some regions hurt the second quarter performance of gas-fired generators, but should benefit the results of companies with exploration and production (E&P) components, according to a report by CreditSights analysts.

In a small bit of irony last December when Enron Corp. had filed for bankruptcy, American Electric Power’s Eric van der Walde, the executive vice president of trading and marketing, said the wholesale energy marketplace was “bigger and stronger than any one company” and other leading wholesale energy providers would weather the storm and fill “any market needs that may arise.” That was then, this is now. Few market observers are so confident today.

Banc of America analysts Tuesday admitted they had “misjudged the snowball effect of Enron’s collapse,” and dropped the ratings of 11 energy wholesalers they cover. Other analysts followed with their own downgrades, all noting that the liquidity for many of the formerly well-heeled traders was quickly evaporating.

Banc of America analysts Tuesday admitted they had “misjudged the snowball effect of Enron’s collapse,” and dropped the ratings of 11 energy wholesalers they cover. Other analysts followed with their own downgrades, all noting that the liquidity for many of the formerly well-heeled traders was quickly evaporating.

California’s debacle followed by Enron’s scandal has cast a broad shadow over state and federal energy initiatives this year, according to former U.S. Sen. Slade Gorton (R-WA), speaking last Thursday at a two-day industry conference in Seattle, “Buying and Selling Power in the West.”

California’s debacle followed by Enron’s scandal has cast a broad shadow over state and federal energy initiatives this year, according to former U.S. Sen. Slade Gorton (R-WA), speaking Thursday at a two-day industry conference in Seattle, “Buying and Selling Power in the West.”

California’s energy crisis and the record high gas prices last winter have stalled energy deregulation and competition in retail natural gas markets, according to the latest statistics from the Energy Information Administration (EIA). In contrast to predictions made one year ago by the American Gas Association (AGA) that nearly 50% of the residential gas customers in the nation were, or soon would be able to choose from competing retail suppliers, only about 27% are able to do so today and just 6% are actively participating, according to the EIA data.

California’s energy crisis and the record high gas prices last winter have stalled energy deregulation and competition in retail natural gas markets, according to the latest statistics from the Energy Information Administration (EIA). In contrast to predictions made one year ago by the American Gas Association (AGA) that nearly 50% of the residential gas customers in the nation were, or soon would be able to choose from competing retail suppliers, only about 27% are able to do so today and just 6% are actively participating, according to the EIA data.