Utility Week articles from January 2002

Utility Week archives from January 2002

TELECOMS; Thames/Lattice telecoms ready to go.(Brief Article)
January 11, 2002... A Thames Water/Lattice Group broadband telecoms joint venture is set to launch on 23 January. The company name and branding will be revealed on that date. The company is conducting a phased roll-out of its new generation technology...

MULTI-UTILITIES; Woolwich to launch utility services pilot.(Brief Article)
January 11, 2002... by Paul Garrett Barclays Bank subsidiary and former building society, the Woolwich, is to pilot a multi-utility retail service early in 2002, targeting commercial users in London. Selected branches will be chosen for the pilot, which...

TELECOMS; Oftel steps in to boost broadband expansion.(Brief Article)
January 11, 2002... by Trevor Dooley Telecoms regulator Oftel has made a bid to boost the expansion of high-speed broadband provision by changing the rules governing access to BT's networks by other operators. In its draft ruling for consultation, Oftel...

WATER; Enel and banks join chase for Wessex.(Brief Article)
January 11, 2002... by Paul Garrett Italian energy utility Enel and two banks have joined Dutch utility Nuon in the queue to bid for for Enron subsidiary Wessex Water in the fallout from the collapse of the USenergy trader. Wessex, up for sale with a...

One false movea.(utilities and consumer rights)
January 11, 2002... The Gas and Electricity Consumers' Council, known as Energywatch, came into being on 7 November 2000 as a result of the Utilities Act 2000. However, it has taken many months to establish and it will be many more months before it is performing...

PAN-UTILITY; Big pay-offs reignite 'fat cats' row.(Brief Article)
January 11, 2002... The simmering row over executive pay has been reignited with the publication of a survey showing that 14 company executives received golden handshakes of more than [pound]1 million in the latest accounting year. Top of the list was the...

The name's Bond: you're nicked.(Kevin Bond)(Brief Article)(Interview)
January 11, 2002... Hewas the former senior policeman from West Mercia Constabulary who became environmental regulator with the former National Rivers Authority and then ended up running Yorkshire Water - for a while at least. Now, after a spell with...

WATER; Fletcher: the industry needs a Water Bill.(Brief Article)
January 11, 2002... by Paul Garrett Water regulator Philip Fletcher has pressed the government to include a Water Bill in the next Queen's Speech to ease in competition and simplify the licensing of new entrants. 'Competition should be there in production...

GAS ; Shake-up of retail market due by Easter.(Brief Article)
January 11, 2002... New rules governing the retail gas market could start to take effect by Easter under proposals floated by Ofgem last week. That is the timetable proposed by a consultation document published by the regulator which sets out new regulations...

GAS; Imports used to meet record gas demand.(Brief Article)
January 11, 2002... Imported gas played a crucial role in the UKlast week as cold weather pushed Britain's gas demand to a record high. On Wednesday 2 January, pipeline operator Transco reported the system handled 427 million cubic metres (mcm), with about 5 per...

GAS; British Gas price rise sparks war of words.(with EnergyWatch)(Brief Article)
January 11, 2002... by Roger Milne British Gas hit back this week after Energywatch predicted that some 2.7 million of its customers were likely to change supplier to escape the energy's giants latest gas price rise of 5.3 per cent. According to an ICM...

ELECTRICITY; Grid's $100m hope dashed by US regulator.(Brief Article)
January 11, 2002... US regulators may have scotched National Grid's hopes of running the Alliance Regional Transmission Operator (RTO), a conglomerate of Mid-Western utilities' transmission systems, endangering nearly US$100 million ([pound]70 million) in revenue...

eNERGY; Winter deaths blight fuel poverty strategy.(Old age persons energy programs evaluation)(Brief Article)
January 11, 2002... by Roger Milne As a government review highlighted the need for more efficient domestic energy use, statistics show that 22,700 older people in England and Wales died from cold-related causes last winter. Campaigners fighting for better...

PAN-UTILITY; Queen honours twelve utility people.(Queen Elizabeth II of the United Kingdom)(Brief Article)
January 11, 2002... Two OBEs and ten MBEs went to people related to utilities in the New Year's Honours List. OBEs went to: National Grid's UK strategy director Mark Fairbairn for services to the electricity industry; and Michael Parker, assistant director of...

ELECTRICITY; Brussels wants to triple UK links.(European Union wants more power from United Kingdom utilities)(Brief Article)
January 11, 2002... Within days of the power link from the British mainland to Northern Ireland going live, the European Commission has proposed that the UK triple the capacity of its electricity interconnections to Europe to spur the development of a European...

Wessex contemplates management buyout.(management buyout of Wessex Water from Enron Corp.)(Brief Article)
January 11, 2002... According to the Independent on Sunday, the management of Wessex Water is considering a [pound]1.2 billion bid to buy Wessex Water from parent company Enron. Wessex Water is controlled by Azurix, which is owned by Enron and Atlantic Water Trust...

You've got a friend.(new Amicus trade union for utility employees)
January 11, 2002... New super trade union Amicus will be fighting hard for utility employees . General secretary Sir Ken Jackson explains. The launch of Amicus on New Year's Day means a new era for the representation of working people in Britain. With over 1.1...

Banking on the brand.(Woolwich to enter home gas utility service industry)(Brief Article)
January 11, 2002... If, as we report this week, the Barclays-owned Woolwich is about to enter the home services utility retail market, then it will have been a long time coming. Big brands such as banks have been cited as potential entrants into this market for a...

ENERGY; Row as atomic fuel plant gets green light.(British Nuclear Fuel plant)(Brief Article)
January 11, 2002... Amid bitter condemnation, British Nuclear Fuelshas started the final stage of commissioning its mixed oxide (Mox) fuel plant at Sellafield. The move has been attacked by the Irish government and environmental groups, which claim the facility is...

British Energy.(financial forecast)(Brief Article)(Statistical Data Included)
January 11, 2002... by Helena Wisden British Energy (BE) might have hoped that its future would become more clear cut with the publication of the government's energy review (due later this month). However, widespread leaks of the review indicate that there...

ENERGY; Wilson warms to green aggregation.(British Energy Minister Brian Wilson)(Brief Article)
January 11, 2002... Ministers are considering legislation to allow the aggregation of contracts under the existing arrangements for supporting renewable energy. This possible change to the Non Fossil Fuel Obligation regime was hinted at by energy minister...

WATER; Farmers told to cut diffuse pollution.(Nitrate Vulnerable Zones expanded; water pollution)(Brief Article)
January 11, 2002... The water industry has greeted with relief government plans to tackle diffuse pollution by reducing nitrates from agriculture. The Department for the Environment, Food and Rural Affairs is planning to extend the 8 per cent of land...

WATER; Green rules threaten soaring leakage bills.(Brief Article)
January 11, 2002... by Karma Ockenden The water industry could face soaring costs in tackling leakage if it is forced for environmental reasons to reduce the amount of water lost from the system to below economic levels. Ofwat currently sets company...

PAN-UTILITY; Utilities set to buck trend and hire more staff.(Brief Article)
January 11, 2002... Employers in Britain's utilities sector are predicting an increase in employment prospects for the period January to March 2002, according to Manpower's quarterly survey of employment prospects. The predicted increase in staffing levels...

Revival for Colt and Energis.(Brief Article)
January 11, 2002... by Trevor Dooley After a year when both fell from grace with a thump, Colt Telecom and Energis rode a new wave of enthusiasm for technology telecoms and media stocks. The rest of the utilities started 2002 with a whimper as defensive...

As time ; goes by.(energy industry)
January 11, 2002... Some things are easy to predict. We all knew that in 2001 there would be a general election and that Labour would win, that Neta would duly happen without too much fuss, that no Water Bill would appear, that at the year end the euro would...

ENERGY; MPs probe St Fergus 'security' alert.(Brief Article)
January 11, 2002... MPs want the Department of Trade and Industry (DTI) to be more open about how the UK would cope with terrorist attacks on utility installations. The House of Commons Trade and Industry Committee was angered that the DTI would not reveal...

TELECOMS; ScottishPower primes Thus for flotation.(Brief Article)
January 11, 2002... ScottishPower has agreed a debt-for-equity swap with its majority-owned telecoms subsidiary Thus, bridging Thus's funding gap and paving the way for a demerger. The move is part of ScottishPower's increasing focus on energy. Under the...

ELECTRICITY; Supply switch decision brings cheer.(Brief Article)
January 11, 2002... Heavy industrial users have welcomed energy regulator Ofgem's rejection of proposals that would have allowed electricity companies to block industrial and commercial customers switching supplier. Electricity companies wanted to bring the...

WATER; United freezes out small contractors.(Brief Article)
January 11, 2002... United Utilities has become the last of the major water firms to disappoint small water contracting firms by bundling its work orders into high-value packages. United is to award three framework projects - one for each of its north,...

ELECTRICITY; Ulster wires price row simmers on.(Brief Article)
January 11, 2002... The simmering row between Northern Ireland Electricity (NIE) and energy regulator Ofreg was kept on the boil this week when the power company responded to the regulator's consultation on its transmission and distribution review with an...

ENERGY; BG strikes deal with Japanese for micro CHP.(Brief Article)
January 11, 2002... BG Group this week announced a joint venture with Japanese manufacturer Rinnai Corporation to make and market micro Combined Heat and Power (CHP) units suitable for home use. The two firms plan to invest up to US$40 million ([pound]28...

Seeing red over; deregulation.(Brief Article)
January 11, 2002... Parliamentarians on both sides in England and Wales have lined up to criticise Ofgem's plans to remove all remaining price controls on domestic energy. A Commons Early Day Motion tabled by Lib Dem Andrew Stunell, the MP for Hazel Grove,...

WATER; Ofwat asks for comment on AWG debt plan.(UK Office of Water Service, Anglian Water)(Brief Article)
January 18, 2002... Ofwat has issued a consultation on Anglian Water's restructuring plans to ensure that its preliminary green light for the scheme has widespread approval. Director general Philip Fletcher said: 'We consider companies should be free to...

TELECOMS; Oftel redials its numbers.(UK Office of Telecommunications on telecommunications services providers)(Brief Article)
January 18, 2002... A review by telecoms regulator Oftel of the way it collects market data has been welcomed by telecoms operators. The watchdog has been under fire from the industry for allegedly publishing out-of-date information. A spokesman for BT said...

Let's get Bizzy.(Bizzenergy - management issues)(Brief Article)
January 18, 2002... Bizzenergy, the second largest independent supplier of electricity in the country and winner of the Utility Industry Achievement Award for e-Commerce, is based not in London, but in Worcester. For those of you not in the know, Worcester is...

ENERGY; Chiefs lack faith in deregulated markets.(Brief Article)
January 18, 2002... by Trevor Dooley Utility chiefs globally are not confident that deregulated markets are robust enough to stand up to extreme trading conditions, according to survey findings by a leading management consultant. In its report, Cap Gemini...

TELECOMS; Centrica in broadband breakthrough.(purchases Iomart Group)(Brief Article)(Statistical Data Included)
January 18, 2002... Centrica's acquisition of a specialist broadband player could be followed by similar transactions as the home services giant reconsiders its telecoms strategy, it emerged this week. Last week Centrica announced it had bought the broadband...

ENERGY; MPs vent anger over methane mine plan.(Members of Parliament on StrataGas' coal-bed methane project, UK)(Brief Article)
January 18, 2002... by Roger Milne MPs last week lined up in the House of Commons to criticise plans for what is proposed to be Britain's biggest coal-bed methane project. The Staffordshire scheme had already run into opposition from Newcastle-under-Lyme...

ELECTRICITY; Neta rule change will help small generators.(New Electricity Trading Arrangements, UK)(Brief Article)
January 18, 2002... by Trevor Dooley The Energy industry has been charged with the task of changing the rules of the New Electricity Trading Arrangements (Neta) to improve the lot of small generators. The industry has been asked to incorporate into Neta the...

WATER; Ofwat sets new debt rules.(UK Office of Water Services on water utilities)(Brief Article)
January 18, 2002... Ofwat has issued debt recovery guidelines for consultation, aimed at companies that have been struggling to ensure customers pay their bills since water disconnections were banned in 1999. Companies have been told their strategies must...

Call in the management.(Brief Article)
January 18, 2002... Scotland-based ECO European has carved a successful niche for itself as a utilities connection business . Norrie Hunter talks to one of its founders. Central Scotland firm ECO European was formed six years ago by partners Steve Timoney and...

ENERGY; UBS pipsUS rival for Enron.(Brief Article)
January 18, 2002... Swiss bank UBS has beaten US counterpart Citigroup in the battle for a majority stake in Enron's North American trading operations, after a night of negotiations in which each side, at points, believed they had won. The deal, due to be...

WATER; Added value services 'pitiful', say big users.(Brief Article)
January 18, 2002... by Karma Ockenden Water companies' added value services are 'pitiful', according to a survey of industrial and commercial users by researcher Frost & Sullivan. Interviews with 120 large water users revealed a general disillusionment...

ENERGY; Two reports home in on fuel poverty.(Brief Article)
January 18, 2002... Two industry reports published last week have highlighted key issues affecting customers in fuel poverty. The reports, from London Electricity and Scottish & Southern Energy, look at how partnerships between organisations can help identify...

On the rights track.(Human Rights Act of 1998)
January 18, 2002... A year on from its implementation, the Human Rights Act has proved a mixed blessing for utilities . By Peter Crossley. A year after it came into force, the Human Rights Act 1998 has made its mark. It has the potential to affect English law...

Trouble at NTL.(NTL PLC debt)(Brief Article)
January 18, 2002... According to the Sunday Express, NTL has been 'forced to consider an emergency [pound]1 billion cash injection' in order to avoid bankruptcy. Both banks and bondholders are urging NTL to issue [pound]1 billion of convertible bonds before they...

Missing links.(European Commission wants UK to join single internal energy infrastructure)
January 18, 2002... The European Commission is on a mission to open up the bottlenecks between European energy networks. It wants a single internal energy infrastructure and Britain's relative isolation is likely to come under increasing pressure. The...

The value of assets.(2002 Utility Congress)(Brief Article)
January 18, 2002... Asset rich or asset light? is the theme for this year's Utility Congress in London in July, the question implying that formerly vertically integrated utilities may be forced to choose one strategy or the other. We have been careful to say...

GAS; Lattice and RWEteam up in logistics.(Viavera joint venture)(Brief Article)
January 18, 2002... Network operator Lattice and German multi-utility RWE have teamed up to offer a service to traders, gas shippers and network owners seeking to shift gas around Europe. The two companies are to spend [pound]6 million on a joint venture...

ELECTRICITY; DTIthrows out Ofgem market abuse clause.(Brief Article)
January 18, 2002... by Trevor Dooley The government has rejected the energy regulator's second proposal for a clause to be added to generation licences in a bid to curb abuse of power in the wholesale electricity market. In a letter to respondents to the...

ENERGY; Wilson says nuclear demise 'exaggerated'.(UK Energy minister Brian Wilson on nuclear energy generation)(Brief Article)
January 18, 2002... by Roger Milne Energy minister Brian Wilson this week denied speculation that the government's energy review would sound the death knell for nuclear generation when he gave evidence to Peers investigating energy security in Europe. ...

ELECTRICITY; Grid awaits US go-aheadafter web error.(Brief Article)
January 18, 2002... National Grid said approval for its [pound]2.1 billion takeover of US power group Niagara Mohawk was 'imminent' after Niagara jumped the gun on Monday with a statement that the merger had got the all-clear from the US regulator. Niagara's...

WATER; Moody's warns of risk in debt trend.(Brief Article)
January 18, 2002... Credit rating agency Moody's has warned that financial risk in the UK water industry is set to increase during 2002 as more companies restructure as debt-financed entities. Moody's said the 100 per cent debt-funded model adopted by Glas...

electricity; TXU mothballs coal turbines.(Brief Article)
January 18, 2002... TXUis to mothball turbines at two power stations due to overcapacity in the market and low wholesale prices. The closedown will remove 522MW from the company's 2,914MW of coal-fired capacity and cost ten jobs. The sets are a 333MWunit at...

United Utilities.(Brief Article)
January 18, 2002... by Richard Orange United Utilities is a nuts and bolts utility with a simple two-way strategy: milking the savings from running both water and electricity distribution in the North West and growing an asset management and call centre...

Furore over end of price controls.(Brief Article)
January 18, 2002... More signs of backbench concern over energy regulation surfaced last week. Not only has the Commons Early Day Motion, voicing concern at Ofgem's plans to end domestic energy price controls, attracted significant support but John Cryer, MP for...

PAN-UTILITY; Brussels raises procurement price levels.(Brief Article)
January 18, 2002... The European Commission has raised the price thresholds determining when utilities have to put contracts out to tender under its public procurement rules. The thresholds vary by country and sector, according to exchange rates. Thresholds...

Don't fence me in.(Brief Article)
January 18, 2002... It has been talked about. Now we see it happening: the gearing up of the regulated water sector has begun in earnest. Following Glas Cymru's [pound]1.9 billion bond raising in May, both ScottishPower (for Southern Water) and AWG are planning to...

ELECTRICITY; Ofgem opts to extend control of Scot prices.(UK Office of Gas and Electricity Markets on electric power trading)(Brief Article)
January 18, 2002... Energy regulator Ofgem has opted to extend imposed pricing arrangements in Scotland until after new, pan-Britain, wholesale trading is introduced in 2004. In its consultation paper, Ofgem said it considered 'whether to progress more...

Defensive stocks win out.(UK public utilities, energy sector, telecommunications services)(Brief Article)(Statistical Data Included)
January 18, 2002... by Trevor Dooley The attractions of Enterprise Oil to Italian oil giant Eni created a stir among UK investors last week. And energy share prices became uncharacteristically excitable. The interest in Enterprise Oil kicked off early in...

ENERGY; Wilson warns of action on transfer errors.(UK Energy minister Brian Wilson on electric utilities)(Brief Article)
January 18, 2002... Energy minister Brian Wilson has warned domestic energy suppliers that they risk action from energy regulator Ofgem and possibly government intervention over continuing problems with erroneous transfers. The minister complained last week...

WATER; Government holds firm on abstraction.(Brief Article)
January 18, 2002... The government has stuck to its guns and will refuse to compensate water companies for revoking their abstraction licences in its Water Bill, despite advice to the contrary from the Environment, Transport and Regional Affairs Select Committee....

electricity; The tide is turning for wave power.(Brief Article)
January 18, 2002... The government has boosted its backing of electricity generation from the power of the seas with a [pound]1.1 million grant to the developer of a tidal power technology. Along with [pound]5 million in renewable funding, the move brings to...

Fatcat fines, Chewco and spam.(Brief Article)
January 18, 2002... Here's a fine to-do. A colleague of the great man was minding his own business when a small card flitted through his letter box. It informed him that British Gas wanted to read his meter, a meter reader had knocked to gain entry and now wanted...

GAS; BG in LNG deal with Gaz de France.(Brief Article)
January 25, 2002... BG Group and partners have signed a sales agreement with Gaz de France for Liquefied Natural Gas (LNG) produced from reserves in offshore concessions in the Nile Delta in Egypt. The gas supply deal concluded last week equated to about 10...

Web masters.(Brief Article)
January 25, 2002... Customers' online experiences can make or break a website. A good experience will encourage a return visit - maybe even the Holy Grail of a purchase. A bad one can lose a customer for life. Blay's Guides specialises in scrutinising...

WATER; Beach bill burden must go.(Brief Article)
January 25, 2002... Water customers in the South West are to lobby MPs to support a new approach to funding environmental improvements in Devon and Cornwall. Because of the large number of beaches in the area, South West Water customers fund improvements to 30...

ELECTRICITY; Conoco fires up giant CHP plan.(Brief Article)
January 25, 2002... As confidence in the prospects for Combined Heat and Power (CHP) wane (see page 5), oil giant Conoco announced the go-ahead of what will be Europe's largest CHPplant. The proposed 730MW plant is to be built on a site next to Conoco's...

ELECTRICITY; Powergen ditches sale of CHParm.(Brief Article)
January 25, 2002... In a move that further darkened the gloom over the prospects for Combined Heat and Power (CHP) under the New Electricity Trading Arrangements (Neta), Powergen has pulled its sale of its CHPdivision after bids failed to meet expectations. ...

ENERGY; LEchief heads home in EdF revamp.(LEGroup, Bruno Lescoeur, Electricite de France)(Brief Article)
January 25, 2002... Under a major overhaul of Electricite de France's structure, Bruno Lescoeur, chairman and chief executive of subsidiary LEGroup (owner of London Electricity), has been given a more senior position within the French energy giant. EdF has...

eNERGY; Prepayers not at risk if price controls end.(Brief Article)
January 25, 2002... by Roger Milne Ofgem has hit back at claims by Parliament and consumer groups that prepayment customers will be at risk if price controls are removed from energy suppliers in nine weeks' time. The watchdog has taken the unprecedented...

WATER; Joint policy could cut green bill by billions.(Brief Article)
January 25, 2002... by Karma Ockenden The UKwill end up paying massively over the odds for environmental improvements if nothing is done to change the way they are funded, according to water industry trade body Water UK. The bill for implementing the...

Why does it always rain on me?(telecommunications services industry problems)(Brief Article)
January 25, 2002... Oftel top dog Dave Edmonds paid a visit to Parliament last week when MPs debated the paving Bill, to establish his firm's successor, Ofcom. With hindsight, maybe he wishes he hadn't bothered. First, the honourable gentlemen were...

ENERGY; Old customers worth more than new.(Datamonitor surveys utility customers)(Brief Article)
January 25, 2002... Utilities are chasing their tails by losing customers as fast as they gain them, according to a survey by Datamonitor. They would be better off trying to get to grips with the root causes of dissatisfaction than throwing money at sales and...

Thus demerger.(plans to issue new shares)(Brief Article)
January 25, 2002... Thus has confirmed its demerger from parent company ScottishPower. According to The Times, the proposed issue of 573 million new shares at 48p, planned to raise [pound]275 million, is necessary to prevent the 'possible collapse' of the company....

TELECOMS; Minister maps way for data.(Douglas Alexander's views on government's broadband strategy)(Brief Article)
January 25, 2002... Competitiveness minister Douglas Alexander has played down the importance to the government's broadband strategy of opening up BT's local exchanges to rivals. He said the government would encourage broadband growth by, for example, pushing...

Champion performers.(Vodafone surpasses 100 million customer mark)(Brief Article)
January 25, 2002... This week, Vodafone announced that it had passed the 100 million customer mark. It is not only the world's largest mobile phone company - it is also the fourth largest company in the world. As far as other utilities are concerned, the likes...

Energy MPs urge caution on price cap axe.(members of Parliament)(Brief Article)
January 25, 2002... MPs last week fired a warning shot across Ofgem's plans to scrap all remaining price caps on domestic energy suppliers. A report on electricity competition just published by the Commons Public Accounts Committee (PAC) urged the regulator to...

Innogy.(company services and management review)(Brief Article)(Statistical Data Included)
January 25, 2002... By Richard Orange The acquisition of Northern Electric's energy supply customers last September by Innogy increased the latter's claimed share of the UK electricity market to just above that of its main rival Centrica, the undisputed...

telecoms; NTL on the defensive as the City loses faith.(Brief Article)
January 25, 2002... by Trevor Dooley The troubles at debt-laden cable operator NTLescalated to crisis proportions this week as analysts lost faith in the company's earnings forecasts and the company was forced to refute claims that it was poised to issue a...

TELECOMS; MPs slate regulation present and planned.(United Kingdom telecommunications industry regulation)(Brief Article)
January 25, 2002... by Roger Milne MPs last week slammed the timing and manner of the government's plan to create a new telecoms regulator. And during the same Commons debate, backbenchers slated the existing watchdog, Oftel, over its part in the roll-out of...

Team ; spirit.(customer service for utilities)(Brief Article)
January 25, 2002... Over the past 20 years, eyebrows have been raised as building societies became banks and supermarkets started selling petrol. While we are no longer surprised by the 'cross sell', we are often irritated by the fact that there may be a better...

WATER; Ofwat softens on review term.(United Kingdom office of water services)(Brief Article)
January 25, 2002... Water regulator Philip Fletcher has indicated a softening in his attitude towards the water industry's call for price reviews to be longer than the current five years. Speaking at Water UK's City conference on Tuesday, Fletcher said the...