Service

Coastal’s ANR Pipeline applied to the FERC for another Wisconsinexpansion to add nearly 200 MMcf/d of capacity to go in service inNovember. 2000.

Interstate pipelines last week unveiled a “global” proposal onseasonal ratemaking and flexible terms and conditions of service atthe fourth industry pow-wow exploring major FERC gas initiativesand possible alternatives. Seasonal ratemaking, which would enablepipes and LDCs to recover more value for capacity when it’s ingreatest demand, is emerging as the industry’s front-runnerreplacement for the Commission’s much-criticized auction mechanism.

The U.S. Department of the Interior’s Minerals ManagementService (MMS) doesn’t expect Sale 172 in the Central Gulf of Mexico(GOM) scheduled for March 17, 1999 in New Orleans to set anyrecords.

Conoco and R&ampB Falcon Corp.’s Deepwater Pathfinderultra-deep-water drillship began a five-year work program in theGulf of Mexico. The ship, which is the first new vessel capable ofdrilling in 10,000 feet of water, will fulfill a $400 milliondrilling program for Conoco. The ship is expected to drill up tofour wells in its first year of operation, with the firstexploratory well being drilled at Garden Banks Block 783. Conocohas interests in 295 deep-water leases.

Atlanta Gas Light Co. (AGL) reached an agreement with theGeorgia Public Service Commission (GPSC) last week to return to itspre-deregulation billing methods, avoiding a Feb. 3 Commissionhearing intended to charge the utility with disregarding marketconstraints in its rate-charging practices. The utility alsoagreed to refund $14.5 million to overcharged customers. Thereformed bills and the refunds will be sent out in February.

Atlanta Gas Light Co. (AGL) reached an agreement with theGeorgia Public Service Commission (GPSC) Wednesday to return to itspre-deregulation billing methods, avoiding a Feb. 3 Commissionhearing intended to charge the utility with disregarding marketconstraints in its rate-charging practices. The utility also agreedto refund $14.5 million to overcharged customers. The reformedbills and the refunds will be sent out in February.

The U.S. Department of the Interior’s Minerals ManagementService (MMS) served official notice Tuesday of its intentions tohold lease sale 181 for 5.949 million acres in the eastern Gulf ofMexico. The MMS issued a Call for Interest and Information and aNotice of Intent (NOI), which gives interested parties 60 days tocomment on the proposed sale. The MMS tentatively scheduled thesale for December 2001. An MMS spokesperson said no minimum bid hasbeen set.

KN Energy began its Choice Gas program in Nebraska for1999-2000, which will enable nearly all of its service territorycustomers to choose their gas supplier. Last year more than 68% ofeligible Nebraskans selected their supplier under the program.”Choice Gas in Nebraska was very successful in its first year andshould be even better this year,” said Dan Watson, KN distributionoperations general manager.

New York State Electric &amp Gas (NYSEG) has asked FERC and theNew York State Public Service Commission (PSC) to hold a jointtechnical conference on utility power purchase agreements withnonutility generators (NUGs) as soon as possible. Eight statelawmakers sent a letter to FERC Chairman James Hoecker on thematter last fall, but action was never taken, a NYSEG spokesmannoted.