Protect

Citing a need for answers to protect the public, the Oklahoma Corporation Commission (OCC) on Wednesday questioned the sudden turnaround by officials of Oklahoma Natural Gas (ONG) and its parent company ONEOK after ONEOK Chairman David Kyle offered to turn over documents OCC has requested for months. ONEOK had stalled the request through litigation, and the Oklahoma Supreme Court now has the case before it on whether OCC has the authority to request the company’s internal documents (see NGI, Sept. 10).

Citing a need for answers to protect the public, the Oklahoma Corporation Commission (OCC) on Wednesday questioned the sudden turnaround by officials of Oklahoma Natural Gas (ONG) and its parent company ONEOK after ONEOK Chairman David Kyle offered to turn over documents OCC has requested for months. ONEOK had stalled the request through litigation, and the Oklahoma Supreme Court now has the case before it on whether OCC has the authority to request the company’s internal documents (see Daily GPI, Sept. 6).

Amid a steady and seemingly limitless stream of commercial buying, natural gas futures rallied for the second-straight session Monday, as traders priced in the first forecasts for hot weather in the eastern U.S. Breaking through several important technical levels to notch its daily high just moments before the closing bell, the July contract finished 25.7 cents higher at $4.179.

Sen. Frank Murkowski (R-AK), chairman of the Senate Energycommittee, yesterday announced plans to hold hearings on theCalifornia energy crisis within the next week. The chairman echoedthe Bush administration’s position that California must take thelead in solving its problem with support from FERC, theadministration and Congress.

Consolidated Edison called on FERC yesterday to protect itscustomers this summer by instituting mechanisms to reduce potentialprice spikes in the New York wholesale power market.

Aquila Energy has won a five-year weather hedge contract toserve the Sacramento Municipal Utility District, a move designed toprotect the California utility from the combined effects of lowprecipitation and the wide swings in electricity prices now facedby other communities in the state.

Natural gas pipelines have come a long way in their effort toprotect the public and environment from the potential threats posedby their systems, but the journey is far from over, says a keypipeline safety official with the Department of Transportation(DOT).

Federal legislation is the only means to protect consumers forthe exercise of market power by dominant generators and utilitiesin competitive electricity markets, according to a U.S. Departmentof Energy report. The report says companies owning abundantgeneration in a local market may face few competitors afterrestructuring, allowing them to exercise market power and chargehigher prices.

El Paso Natural Gas has agreed to pay Southern California Edison$32 million and make other concessions to prevent its hard-fought1996 rate settlement from collapsing like a house of cards. Thedeal ends four years of litigation by Edison, which tried to derailthe settlement from the very start.