Meeting

There are still no takers in a plan to unbundle Colorado’s gas utilities, but at least two utilities may be warming to the idea. A meeting in mid-July of the Colorado Public Utilities Commission (PUC) to discuss natural gas local distribution company unbundling, gas utility plans and consumer issues concluded with only two companies — the largest ones serving the state — reporting that they might provide unbundling programs. Just not now.

At its final meeting before the August break, FERC last weekcleared its agenda of several major rehearing orders — includingOrder 637-B, which was a rehearing of Order 637-A, which was arehearing of Order 637. This time around the Commission refused tobudge on the majority of the policy calls it made in 637-A thataddressed regulation of the short-term natural gas transportationmarket.

There are still no takers in a plan to unbundle Colorado’s gasutilities, but at least two utilities may be warming to the idea. Ameeting last week of the Colorado Public Utilities Commission (PUC)to discuss natural gas local distribution company unbundling, gasutility plans and consumer issues concluded with only two companies— the largest ones serving the state — reporting that theymight provide unbundling programs. Just not now.

For the most part, the annual State of the Oil and Gas Industrymeeting of the Texas Railroad Commission in Austin yesterday was alove fest, as producers, operators, association representatives andvarious others lauded the good times and high profits the industryis having.

If the Minerals Management Service (MMS) is correct, the Gulf ofMexico has a growing role to play in meeting the nation’s demandfor natural gas. The agency presented results of a study evaluatingthe role of the federal Outer Continental Shelf (OCS) in supplyingfuture U.S. gas demand at a symposium held in Houston last week.

As Piedmont Natural Gas Co. reported record net income Friday atits annual shareholders meeting in Charlotte, NC, Chairman and CEOJohn H. Maxheim announced his retirement from active operation ofthe company after 22 years. Maxheim said the company’s board hasnamed former Piedmont Natural Gas President and COO Ware F.Schiefer to succeed him as president and CEO.

The Federal Energy Regulatory Commission said that at its nextmeeting Jan. 12 it will consider a final rule on the proposedchanges to its regulations governing short-term natural gastransportation services and interruptible transportation (DocketsRM98-10 and RM98-12).

At an analyst meeting yesterday, executives from theOklahoma-City based Kerr-McGee, a major independent oil and gasproducer, outlined the company’s performance in 1999 and allowed afew glimpses into its strategy for next year.

Indiana Energy, Inc. said yesterday that a special meeting ofcommon shareholders would be held on December 17 at its corporateheadquarters in Indianapolis, IN, to consider the previously announcedmerger with SIGCORP Inc. The merger would create a new $1.9 billionholding company called Vectren (see Daily GPI, June 15). Through its utility subsidiaries,Vectren will offer gas and electricity to more than 650,000 customersin adjoining service areas that cover nearly two-thirds ofIndiana. Vectren’s non-regulated subsidiaries will offerenergy-related products and services, including: energy marketing;performance contracting and coal mining; fiber-optic basedtelecommunications services; locating, trenching and meter readingservices; and materials management to customers throughout thesurrounding region. Under the merger agreement, Indiana Energyshareholders will receive one share of Vectren’s common stock for eachshare of Indiana Energy stock. SIGCORP shareholders will receive 1.333shares of Vectren’s common stock for each share of SIGCORP stock.