States

Several consumer groups last week took steps toward pushing forre-regulation nationally and in states, denouncing efforts toderegulate the electricity industry as flawed.

With 5,900 MW of new mostly gas-fired generation capacity comingonline this winter across the United States, the North AmericanElectric Reliability Council concluded in its latest WinterAssessment that “electric resources will be adequate” to meetprojected electricity demand.

Several consumer groups last week took steps toward pushing forre-regulation nationally and in several states, denouncing effortsto deregulate the electricity industry as flawed.

With 5,900 MW of new mostly gas-fired generation capacity comingonline this winter across the United States, the North AmericanElectric Reliability Council concluded in its latest WinterAssessment that “electric resources will be adequate” to meetprojected electricity demand.

The New Power Co. (TNPC), the first nationally branded providerof electricity and natural gas to residential and small commercialcustomers in the United States, reported yesterday that itsrevenues derived from the sale and delivery of the commodities toretail customers during the third quarter for 2000 was $18.2million. Gross profit for the new company was $1.3 million (7.2% ofrevenues). The net loss for the quarter was $69.9 million, or $2.96per basic share, based on 23,581097 weighted average common sharesoutstanding. “This was a quarter of important progress for The NewPower Company, as we achieved both our overall financialperformance targets and business objectives,” commented H. EugeneLockhart, CEO. “Additionally, the successful completion of our IPOjust after the close of the quarter enabled us to raise $546million, firmly positioning New Power as the first mover inestablishing a national brand to address the $150 billionderegulating electric and natural gas marketplace for residentialand small commercial customers.” The company hopes to achieverevenues of $60 to $63 million for the fourth quarter, with ayear-end customer count in the area of 340,000.

The New Power Co. (TNPC), the first nationally branded provider ofelectricity and natural gas to residential and small commercialcustomers in the United States, reported yesterday that its revenuesderived from the sale and delivery of the commodities to retailcustomers during the third quarter for 2000 was $18.2 million (seeDaily GPI, Nov 6). Gross profit for thenew company was $1.3 million (7.2% of revenues). The net loss for thequarter was $69.9 million, or $2.96 per basic share, based on23,581097 weighted average common shares outstanding. “This was aquarter of important progress for The New Power Company, as weachieved both our overall financial performance targets and businessobjectives,” commented H. Eugene Lockhart, CEO. “Additionally, thesuccessful completion of our IPO just after the close of the quarterenabled us to raise $546 million, firmly positioning New Power as thefirst mover in establishing a national brand to address the $150billion deregulating electric and natural gas marketplace forresidential and small commercial customers.” The company hopes toachieve revenues of $60 to $63 million for the fourth quarter, with ayear-end customer count in the area of 340,000.

The transmission market has become one of the most politicized issues of the day, and while the United States needs more generation, there remains no clear vision of how to make the entire system work more efficiently, according to experts speaking at PowerMart 2000 in Houston last week.

The average price of electricity in the United States decreased in 1999 for the sixth consecutive year to the lowest rates since 1990. The total decline in rates since 1994 is 3.6%, according to information released by the Energy Information Administration (EIA) in “Electric Sales and Revenue 1999.”

Despite trouble in the retail market in several states thisyear, gas customer choice appears to be making a little progress.The Michigan Public Service Commission has adopted terms andconditions to make gas choice programs for residential andcommercial customers a permanent fixture in the state.