Lack

Some speculated Alliance Pipeline might be hurt by FERC’s movenot to issue preliminary determinations (PDs) to the four projectsthat would provide takeaway capacity for Canadian gas from Chicagoto East Coast markets. But Alliance officials last week quicklydismissed that notion.

Those bemoaning the lack of a competitive market for electricityin California should look on the bright side. Things are movingalong, and the process is not finished, said Daniel D. Richard Jr.,senior vice president government and regulatory relations forPacific Gas and Electric.

“I’ll be out of a job if they keep this up,” said a Westerntrader Wednesday, referring to the lack of volatility in yetanother in a long string of flat cash market performances. He didmanage to find sort of a silver lining: “I can’t make a good or abad deal in this market.”

Lack of follow-through selling kept the bears guessing yesterdayat Nymex as the market ignored a trio of bearish factors-weather,storage, and cash prices-to trade nearly unchanged on the day. TheNovember contract was limited to a tight trading range and settleddown just 0.4 cents to $2.176 for the day. Estimated volume was43,394.

While power generation demand and constraints on El Paso in theSan Juan Basin kept Western and Rockies prices afloat, general lackof trading activity kept most other markets flat to down a coupleof cents.

In the battle between marketers and LDCs to restructure the gasindustry, commercial customers are being overlooked, according toKathleen Magruder, vice president of rates and tariffs for EnronEnergy Services (EES). “I had a regulator. say to me, ‘Well, ‘I’venever heard a commercial customer say they really want somechoice.’ So the next meeting I brought in 15 commercial customers.He was real unhappy.

Officials of key electricity trade groups question whetherDeputy Energy Secretary Elizabeth Moler has the political cloutneeded to be considered as a serious candidate by the White Houseto replace departing Energy Secretary Federico Pena.

Lack of activity was the popular excuse for the mostly stagnantprice levels during Monday’s cash market trading session. Mostsources agreed that moderating temperatures along with aslow-moving Nymex screen were to blame. With the exception of theRockies and intra-Alberta gas, which registered the only notabledeclines of the day, cash prices generally started the new weekflat to up or down a penny or two across the board.