Service

The jury is still out, but initial word from the MineralsManagement Service (MMS) on royalty in kind (RIK) pilots is RIKcould work for some gas and oil leases

The jury is still out, but initial word from the Minerals Management Service (MMS) on royalty in-kind (RIK) pilots is RIK could work for some gas and oil leases.

Large Ohio wholesale natural gas provider Beldenergy haslicensed Prosper NRG Marketing’s “Direct to Market” service toprovide marketers targeting Columbus, OH, with the capability ofgiving prospective customers “Instant Savings Analysis.”

Due to hundreds of customer complaints that Atlanta Gas Light(AGL) is over-billing, Georgia’s Public Service Commission (PSC)will vote on Jan. 5 to determine whether a hearing should be heldto examine re-regulating the state’s gas industry, the PSC toldNGI. If the commission decides a hearing is necessary, it will beheld Jan. 26 with a decision to come shortly thereafter.

Houston Industries Wholesale Energy Group, an affiliate ofHouston Lighting & Power, has signed a 10-year contract tosupply up to 50 Bcf to LGS Natural Gas, an affiliate of LouisianaGas Service Co., the largest distributor in the state.

According to surveys conducted for the New York State PublicService Commission as part of its customer education and outreachprogram, 64% of residential customers and 62% of business customershave a general awareness of the move to competition in the electricindustry, and most customers are optimistic about the changestaking place. However only 23% of residential customers and 34% ofsmall businesses are aware of competition in the natural gasindustry.

The New York Public Service Commission (PSC) approved New YorkState Electric and Gas Co.’s (NYSEG) sale of all of itsfossil-fueled generation plants to AES NY Inc. and Mission EnergyWestside Inc. The $1.85 billion sale furthers the commission goalof encouraging utility divestiture of generation facilities as onestep in the process of introducing competition to New York’selectric industry. NYSEG is the first utility in the state toreceive commission approval for the sale of generation facilities.

Florida Power Corp. filed plans with the Florida Public ServiceCommission to accelerate the building of a second generation unitat its Hines Energy Complex in Polk County. The unit will provideadditional capability to meet growing demand for electricity wellinto the next century. The company has offered to absorbconstruction costs for the plant in its current customer rates.

In a case that points up the marketplace failure of FERC’scapacity release rules, Consumers Energy and the Commission’senforcement section have come to a no-fault agreement over chargesConsumers collected payments in excess of maximum lawful rates forupstream pipeline capacity released to shippers.