Utility

BC Gas Utility Ltd. has applied to the BC Utilities Commission for a 10% reduction in the commodity charge for natural gas to take effect Jan. 1, 2002. Vancouver-based BC Gas last reduced its commodity charge on Oct. 1 when the BCUC approved a reduction that saw customers’ bills decrease by approximately 11%.

Making steady progress since Monday against a rising tide of declining energy stock prices, Atlanta, GA-based Southern Co., Akron, OH-based FirstEnergy and New Jersey-based GPU Inc. again were on the plus side Wednesday. It wasn’t hard to figure, as U.S. aircraft carriers steamed toward the Caribbean and the Middle East, with fighter planes expected to follow soon. The three utilities own no foreign facilities.

While natural gas prices are down considerably, the nation’s largest municipal electric utility is hoping to acquire some natural gas reserves and forward supply contracts to lock in supplies and prices for the next three to five years, the muni’s interim general manager, David Wiggs, said Thursday.

The Philadelphia Gas Works (PGW) has filed a settlement proposal with the Pennsylvania Public Utility Commission, including a gas cost reduction of 20%, that adds up to about $171 million.

Granting the company’s mid-August petition, the Pennsylvania Public Utility Commission (PUC) approved Philadelphia Gas Works’ proposal to reduce rates for its natural gas customers. The reduction will result in a $171 million cut in rates for its more than 520,000 residential, commercial and industrial customers (see Daily GPI, Aug. 20).

The merger of electric operations of Public Service Co. of New Mexico (PNM) and Kansas-based Western Resources Inc. appears to have foundered on conditions imposed by the Kansas Corporation Commission (KCC). PNM last Monday said Western had discontinued talks about possible modifications to their proposed transaction, and that the parties are in disagreement about the future of the deal.

The board of directors of the Ohio Electric Utility Institute (OEUI) elected Floyd W. Nickerson, AEP Ohio president, as its chairman. In addition, Arthur G. Meyer, vice president of legal and corporate affairs at Dayton Power and Light, was elected vice chairman of OEUI. As chairman, Nickerson will preside over OEUI’s board, which is responsible for setting policy for the non-profit state trade association. OEUI represents Ohio’s five investor-owned electric companies, which provide electricity to 4.5 million customers, nearly 90% of the state’s electric users. “With Ohio moving to electric restructuring starting this year, OEUI will continue to work closely with state officials to accomplish a smooth transition to competition in Ohio’s electric industry,” said Nickerson.

Austin-based Southern Union Co. has named David W. Stevens as executive vice-president of utility operations and Dennis K. Morgan as executive vice-president of administration. The company said Stevens will be responsible for overseeing the company’s natural gas operating divisions: Southern Union Gas, Missouri Gas Energy, Atlantic Utilities, PG Energy, and New England. In addition, Stevens will oversee the customer service, engineering and gas supply departments. Stevens is currently the president of Southern Union Gas. Morgan will be responsible for overseeing a broad range of corporate administrative functions, including legal, human resources, risk, environmental matters, and corporate communications. Southern Union is an international energy distribution company serving nearly 1.6 million customers in Texas, Missouri, Pennsylvania, Rhode Island, Massachusetts, Florida and Mexico.

In an effort to help meet the growing demands for natural gas in British Columbia and in the U.S. Pacific Northwest, BC Gas Utility Ltd. said it is actively pursuing a plan to build the Inland Pacific Connector, an expansion of the company’s Southern Crossing Pipeline. Southern Crossing began service in late November 2000 (see Daily GPI, Dec. 5, 2000).