Maine

The energy-focused private equity firm First Reserve has agreed to acquire Cleveland-based Gas Natural Inc. and its five subsidiary companies for an all-stock deal worth $196 million in yet another utility merger.

The Maine Public Utilities Commission (PUC) is weighing a proposal to create up to 1.3 Bcf of liquefied natural gas (LNG) storage capacity in the state to be used for peak shaving during times of high demand or natural gas supply constraints. Project backers say storage is cheaper than adding new pipeline capacity to the region.

Utility regulators in Maine approved a plan to support development of natural gas pipeline capacity — at ratepayer expense — to serve the state as long as other New England states join the effort.

A Maine Public Utilities Commission (PUC) staff recommendation in an Examiner’s Report released Wednesday says there is no need for state regulators to enter into pipeline capacity contracts in order to support natural gas and power price stability — at least not for now.

FERC should “move forward expeditiously” in its review of Tennessee Gas Pipeline Co. LLC’s (TGP) Northeast Energy Direct (NED) Project “to relieve New England’s natural gas capacity challenges,” Maine Gov. Paul LePage said in a letter posted on the Commission website last week.

Call it an example of Goliath giving David a helping hand.

A construction build-out plan announced by Summit Natural Gas of Maine Wednesday proposes bringing access to natural gas service to more than 2,400 residents of central and southern Maine this year.

A natural gas utility’s plans to convert 3,000 homes and businesses in Maine to natural gas ran into a snag because many heating, ventilation and air conditioning (HVAC) contractors are unfamiliar with the options available to new natural gas customers.

Tennessee Gas Pipeline LLC (TGP) is offering the state of Maine a 20-year capacity deal on its proposed Northeast Energy Direct (NED) expansion that it says will drive down Mainers’ natural gas and electricity costs. Meanwhile, Massachusetts has questioned the need for the project in a regulatory filing.