Kick

FERC administrative law judges (ALJs) this week will bring together the three Northeast independent system operators (ISOs) and Southeast transmission owners in response to a recent Federal Energy Regulatory Commission order designed to establish a total of four regional transmission organizations (RTOs) in the United States, with one dedicated to each region: the Northeast, Southeast, Midwest and West.

In anticipation of a hot summer, the California IndependentSystem Operator (ISO) this week will kick off its Power Watch 2000awareness campaign during which it will issue media alerts advisingthe public when electricity demand is nearing peak levels and ofthe need to use conservation measures.

After watching the market free-fall 7.1 cents to kick off theweek, bulls dug in their heels Tuesday at Nymex. While they weren’table to recoup much of Monday’s declines, they did prevent anyfurther losses. As a result, the futures market was stagnantyesterday, with the July contract limited to an extremely tight3-cent trading range before settling up 0.1 at $2.238.

After posting 7.3 cent rally to kick off the week Monday, thefutures market found itself in a spirited see-saw battle pittingprice-optimistic bulls versus price skeptical bears Tuesday. In theend however, the market sided with the trend as the bulls came awaywith their fifth gain in as many days by nudging the May contract3.2 cents higher to $2.331. The May contract expires today at 3:10EST.

After a convincing 7-cent gain to kick off the week, the futuresmarket forged higher yesterday morning amid continuedshort-covering mixed with some fresh buying activity. The Aprilcontract was bumping up against the March 12 high of $1.825 inmid-day trading, but in the afternoon the buying dried up, leavingonly sellers to determine the market direction. The resulting priceslide-7 cents in 45 minutes-send the prompt month spiraling lowerto finish at $1.754.

Rep. Steve Largent (R-OK) plans to introduce a comprehensivebill to restructure the retail power industry early in the 106thCongress.

The April Nymex contract slipped 1.3 cents to $2.228 onWednesday, as the near month contract continues to be hounded bytight trading ranges. April could move no higher than $2.245 and nolower than $2.210 yesterday.