Posted by Edward G. Lanza on 16 Aug 2007 | Tagged as: Natural Gas
Natural gas stocks led gainers in the energy sector on Wednesday as fresh storm activity both in the Gulf of Mexico and in the Atlantic loomed on Wall Street’s radar screen.
The Amex Natural Gas Index rose 1%. The Philadelphia Oil Service Index added 0.4%. The Amex Oil Index added 0.5%. Marathon Oil rose 2.2%. Constellation Energy Partners fell 2.5%.
Posted by Edward G. Lanza on 14 Aug 2007 | Tagged as: Energy, M&A
TXU Corp. expects to split into three stand-alone businesses if its $32 billion buyout by a group of investors is not completed, the Texas power company said in a filing on Monday.
TXU, which will begin meeting with shareholders as well as Institutional Shareholder Services on the proposed buyout, said market, legislative and regulatory challenges undermine the integrated business model.
It has set a Sept. 7 shareholder vote, where it needs two-thirds approval to go ahead with its proposed sale to a group led by private equity firms Kohlberg Kravis Roberts & Co and TPG, formerly known as Texas Pacific Group.
Posted by Edward G. Lanza on 13 Aug 2007 | Tagged as: General, Electric, Water, Energy, Environment
Weeks after they were formally dedicated by Mayor Michael R. Bloomberg, six underwater turbines that turn the river’s currents into electricity have been shut down for repairs and a basic redesign. The East River’s powerful tides have been wreaking havoc with the giant turbine blades since the first two were installed in December.
“But the good thing is that there’s more power in the East River than we thought,” said Mollie E. Gardner, a geologist for Verdant Power, which owns the equipment.
This is the reality of new energy projects, which often seem more attractive on paper than they do in practice. Verdant’s principals, along with the state officials who have supported the project with large grants, say the setback is only temporary, even expected — a way to work out the kinks before moving onto the next, expanded phase.
Despite a string of mishaps that has taken a bit of the luster off the project, there is still sufficient optimism about tidal power to attract investments, and even some old-fashioned competition.
Posted by Edward G. Lanza on 13 Aug 2007 | Tagged as: Telecommunications
AP via Forbes:
Former Williams-Sonoma Inc. CEO Edward A. Mueller said Monday he will focus on the fundamentals as the new head of Qwest Communications International Inc.
Mueller said he wants Qwest to continue to provide good customer service and have profitable growth while keeping spending disciplined.
Posted by Edward G. Lanza on 11 Aug 2007 | Tagged as: Energy, M&A
National Grid PLC chief executive Steve Holliday said yesterday he is optimistic the utility conglomerate’s $7.3 billion takeover of KeySpan Corp. will finally close this month, which means 800,000 KeySpan Massachusetts gas customers will soon see the Grid name.
In an interview at National Grid USA’s headquarters in Westborough, Holliday said he expects New York utility regulators to approve the deal Aug. 22, the last government sign-off required for the takeover, which was made public in February 2006.
Posted by Edward G. Lanza on 08 Aug 2007 | Tagged as: General, Natural Gas, Electric, Energy
AP via NYT:
Duke Energy, one of the largest electric power companies in the United States, said yesterday its second-quarter profit fell 17 percent after it spun off its natural gas business at the beginning of the year.
Another electric utility, TXU, said its second-quarter profit plunged 76 percent because of costs related to its pending sale to private investors and cool weather that reduced demand for air-conditioning.
But higher natural gas production and an expanding pipeline network helped the El Paso Corporation post a nearly 11 percent increase in second-quarter earnings.
Posted by Edward G. Lanza on 08 Aug 2007 | Tagged as: Energy, International
Delta is taking the Dutch government to court over the costs of it decision to split the Netherlands’ utilities, the Regional Dutch energy provider said in a press release.
The Zeeland-based company said its strategy is to remain an independent, multi-utility and claims the forced division of Dutch utilities into network operators and energy providers will endanger that strategy.
Delta said it believes the split violates European treaties on the free flow of capital and property rights.
Posted by Edward G. Lanza on 08 Aug 2007 | Tagged as: Water
After spending much of the last year trying to fix its outdated and unreliable water billing system, New York City is finally getting tough on delinquent ratepayers — but only on 11 of them.
The city’s Department of Environmental Protection, which runs the largest municipal water system in the country, yesterday issued notices to 11 single-family homeowners around the city warning them that they have 30 days to bring their water bills up to date or their taps will run dry.
That might not seem like much of a threat, considering there are tens of thousands of water deadbeats who owe the city about $600 million.
Posted by Edward G. Lanza on 06 Aug 2007 | Tagged as: Telecommunications
Wall Street Journal (subscription):
A new law expanding the government’s ability to conduct wiretaps without a court order fails to resolve liability concerns faced by phone companies that cooperate, ensuring prolonged controversy and perhaps continuing problems in carrying out the surveillance program.
The law, an update of the 1978 Foreign Intelligence Surveillance Act, or FISA, spells out and broadens the government’s ability to tap into communications, including email, of suspected terrorists. It was passed over the weekend only grudgingly by the Democratic-controlled Congress, and signed by the president yesterday.
But the measure lacks a provision sought by the White House and telecommunications companies: protection from lawsuits filed against phone companies by privacy groups and customers for past cooperation with government spy programs.
Posted by Edward G. Lanza on 05 Aug 2007 | Tagged as: Energy, Environment
The House passed a wide-ranging energy bill on Saturday that will require most utilities to produce 15 percent of their electricity from renewable sources like wind and solar power. President Bush has vowed to veto the bill because it does nothing to encourage increased domestic production of oil and gas…
The utilities provision, or the so-called renewable electricity standard amendment, was among the most contested measures in the energy bill. Sponsored by Representative Tom Udall, Democrat of New Mexico, and several others, it will force utilities to make a significant share of their electricity from solar, wind, geothermal, water and other nonfossil fuel sources, although they can meet part of the requirement through conservation measures.
Welcome to Utility News, a law blog hosted by Saul Ewing LLP. Utility News is a source of information for individuals interested in public utilities and their regulation.
Edward G. Lanza, Editor
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