Yesterday

American Electric Power (AEP) and the Lower Colorado River Authority (LCRA) yesterday said that they have reached a joint development agreement designed to improve the capacity and reliability of electric transmission systems in South and West Texas.

St. Louis-based Laclede Gas Co. yesterday filed a request with the Missouri Public Service Commission to increase a portion of its general rate structure to allow it to recover increased distribution costs for its 633,000 customers in Eastern Missouri. Laclede noted that the proposal would not affect customers’ wholesale gas costs, local gross receipt tax rates or interstate pipeline and storage costs.

Knoxville-based Tengasco yesterday began gas deliveries over its new intrastate pipeline to Eastman Chemical Co. under a 20-year sales contract that calls for a minimum of 10 MMcf/d. The contract, which will supply at least 80% of Eastman’s gas requirements in Kingsport, TN, is estimated to generate over $200 million of revenues during its term.

Several key players in the energy industry yesterday said that the odds favor Congress being able to get a comprehensive energy bill on President Bush’s desk for his signature by the end of this year. But at least one participant in a Washington, DC, press briefing on the Bush administration’s new national energy policy argued that the real question is whether such legislation will truly help to solve the nation’s energy crisis or instead will prove to be little more than window dressing designed to boost the fortunes of politicians back home.

The reaction was loud, long and predictable — and in fact most was probably written well in advance of yesterday’s unveiling. While the energy industry — from natural gas interests, to coal to nuclear power — hailed the Bush energy plan for its long-overdue focus on developing the nation’s energy resources and infrastructure, environmentalists bashed it as a bunch of dirty words aimed at derailing the movement to reduce pollution and preserve the environment.

The reaction was loud, long and predictable — and in fact most was probably written well in advance of yesterday’s unveiling. While the energy industry — from natural gas interests, to coal to nuclear power — hailed the Bush energy plan for its long-overdue focus on developing the nation’s energy resources and infrastructure, environmentalists bashed it as a bunch of dirty words aimed at derailing the movement to reduce pollution and preserve the environment.

President Bush yesterday put the Federal Trade Commission (FTC) on notice that it should deal swiftly with complaints from the public involving illegal overcharges on energy, and instructed FERC to closely monitor electricity suppliers to ensure they are charging “fair and reasonable” prices.

House Democrats made clear yesterday that they favor some of the same actions as the Republicans to resolve the current energy crisis — improving the energy transmission/transportation infrastructure, increased drilling on public lands, expedited permitting for pipelines and production tax credits — but they insist these can be accomplished without compromising the environment.

Sempra Energy and California regulators were put on the hotseat during a Senate hearing yesterday for their continued opposition to the new interstate pipeline and expansion projects that have been proposed for the natural gas-hungry California market.