Inherent

Billionaire Warren Buffett’s venture into the energy utility business continues its focus on the lower-risk, steadier rewards inherent in prudently operated public utilities while passing on his Midas touch to a growing stable of companies, including PacifiCorp, Northern Natural Gas Co. and MidAmerican Energy Co., according to Standard & Poor’s Ratings Services (S&P).

This isn’t your old natural gas supply chain. That was the message inherent in the plans by a main Northeast U.S. buying consortium to switch its point of purchase from Alberta to the Dawn, ON, hub when its 15-year contracts run out this fall. And, by the way, there won’t be any more 15-year contracts either.

Transition problems inherent is shifting Cheyenne Light, Fuel and Power utility operations from Xcel Energy to Black Hills Corp. have now been resolved, the Wyoming Public Service Commission indicated last Tuesday in accepting a report resulting from a three-month commission investigation. Problems developed after the sale was completed last January, but concerns about utility billing practices and other issues have now been put to rest, the PSC reported indicated.

The inherent vulnerability of the Pacific Northwest’s energy infrastructure to terrorist attack is a strong reason to expand energy efficiency and conservation programs to lessen the general public’s dependence on centralized oil, natural gas and electricity supply sources, according to the Seattle-based Northwest Environment Watch, a research organization, in its annual report released earlier this month.

The inherent vulnerability of the Pacific Northwest’s energy infrastructure to terrorist attack is a strong reason to expand energy efficiency and conservation programs to lessen the general public’s dependence on centralized oil, natural gas and electricity supply sources, according to the Seattle-based Northwest Environment Watch, a research organization, in its annual report released earlier this month.

Over-reliance on natural gas as the fuel for new electricgenerating plants nationally carries with it an inherent risk toreliability and the threat of exacerbating already volatilewholesale markets, according to three industry executives whoaddressed a meeting of state regulatory commissioners in San Diegolast week.