Territory

Starting at the extreme southern end of its service territory in the agricultural and energy hub of Bakersfield, CA, Pacific Gas and Electric Co. Thursday kicked off the start of its five-year, $1.7 billion change-out of 10.3 million electric and natural gas meters to an interactive, smart metering system — the largest U.S. utility meter replacement ever.

Starting at the extreme southern end of its service territory in the agricultural and energy hub of Bakersfield, CA, Pacific Gas and Electric Co. Thursday kicked off the start of its five-year, $1.7 billion change-out of 10.3 million electric and natural gas meters to an interactive, smart metering system — the largest U.S. utility meter replacement ever.

The Nevada Public Utilities Commission last Wednesday approved an expansion of Sierra Pacific Power Co.’s natural gas service territory in the north end of the state. The PUC gave the OK for the Sierra Pacific Resources utility to annex contiguous areas in Storey and Lyon Counties.

Natural gas futures Friday had the trajectory of a hot-air balloon without enough fuel to remain off the ground. Prices rose initially but ended the day in negative territory as efforts by local and short-term traders to push the market higher failed. The April contract fell $0.038 to $7.290 and the May contract slipped $0.010 to $7.457.

In a somewhat surprising move attributable chiefly to the screen’s Thursday afternoon turnaround into positive territory (and aided by some colder weekend weather in parts of the Midwest, Northeast and South), cash prices saw hefty increases at all points Friday.

As competition heats up for LNG terminal sites off Florida and Massachusetts, an AES Corp. affiliate has staked out territory halfway between, with a plan to build a receiving terminal at the old Bethlehem Steel Sparrows Point industrial site on Baltimore Harbor.

A strong North American natural gas position appears to be regaining its value for the majors. As domestic natural gas futures prices continue to trade in the uncharted territory of $14-15, rumors were circulating Monday about Houston-based ConocoPhillips taking an interest in buying Burlington Resources, also Houston-based. The Wall Street Journal reported that the two companies are in “advanced talks” on a deal valued in excess of $30 billion.

The Yukon Territory hopes its resources will ignite another rush – this time for natural gas under Eagle Plains, an area not far from the scene of the 1890s Klondike gold stampede.

Equitable Gas Co. said it will install 260,000 electronic meter reading devices in its southwestern Pennsylvania utility service territory to gain efficiencies and cut long-term service costs. The implementation and installation process will begin later this month and will be completed by September 2006.