Utility Week articles from May 2006

Utility Week archives from May 2006

Features.(Bid of Gas Natural )(Brief article)
May 5, 2006... Gain in Spain The European Commission has approved Eon's [euro]29 billion bid for Spain's leading power firm, Endesa, saying that overlaps between the firms' energy businesses would not threaten competition. Madrid had favoured a rival...

News.
May 5, 2006... Rays the roof: work will start in May to turn a 60-hectare hillside in Serpa, Portugal, into a 52,000 module photovoltaic array, with a peak generation of 11MW. The [pounds sterling]40 million project, financed and owned by GE Energy and...

energy Ministers to bolster biomass.(Biomass will have an increasingly important role to play)(Brief article)
May 5, 2006... by Roger Milne The government has revealed plans to improve the financial position of small-scale biomass generators. The proposals will require primary legislation and could kick in by April next year. The plans were highlighted last...

News.(Filing Sewage Cases)(Brief article)
May 5, 2006... Southern fine Southern Water was fined [pounds sterling]7,000 with costs of [pounds sterling]11,000 after it was prosecuted by the Environment Agency for pumping raw sewage into a tributary of the River Medway. Sewage fine Avent...

ENVIRONMENT Commission to probe carbon trade reports.(Investigations of carbon emissions)(Brief article)
May 5, 2006... by Roger Milne The European Commission is to investigate how countries report their annual carbon allowance trading after a series of announcements indicated that many companies were "undershooting" their 2005 quotas. The news...

ENVIRONMENT Nuclear waste pit bill [pounds sterling]15bn.(Radioactive wastes)
May 5, 2006... by Roger Milne The cost of disposing of current and future radioactive waste from the UK's nuclear power programme could reach [pounds sterling]15 billion. The bill for burying the waste deep underground in a specially-engineered...

Features.(Customer calls regarding water supply problems)
May 5, 2006... Allowing call centre agents to share their knowledge dramatically increased service levels at Yorkshire Water, says Ian Jones Yorkshire Water receives 400,000 customer calls a year purely about water supply problems such as low pressure,...

Features.
May 5, 2006... Techniques to listen in to and analyse customer calls can lead to vast service improvements and business benefits, says Martin Roberts Despite the capacity of modern voice recording solutions to store every single customer interaction (not only...

Agent secrets.(Contact center agents trained)
May 5, 2006... As consumers, we are all familiar with the frustration caused by poor quality contact centre operations. Stories are legion about being placed in a never-ending queue and getting through in the end to an agent who does not understand your...

Blind data.(Customer relationship management)
May 5, 2006... In the 1980s and 1990s, one of the biggest growth areas for computer software was customer relationship management (CRM). Companies deployed applications for sales, support, marketing and other customer-facing functions to help them track...

Attention to details.(Data Protection Act forces)
May 5, 2006... In the.six years since the Data Protection Act came into force, it is fair to say that press reporting has been consistently negative and disparaging..We have all read stories such as the one about.the parish priest who claimed.he could not...

Can't get no satisfaction.(Using the right tools and processes to deliver superior customer service)
May 5, 2006... Since 2003, gas prices have risen by up to 95 per cent and electricity prices by up to 85 per cent. Further price increases are predicted by Datamonitor and other industry analysts. In response, consumers are being aggressively encouraged to...

WATER EA launches water-saving awards.(Environment Agency)(Brief article)
May 5, 2006... The Environment Agency is looking for organisations that have pioneered creative approaches to cutting water use to enter its fifth Water Efficiency Awards. David King, the agency's director of water management, said that with the South...

Greenpeace gets fuel for thought.(Environmental sustainability)
May 5, 2006... Any senior Centrica staff unhappy about the incoming chief executive, or mortified about the prospect of the administrative equivalent of the bear hug should Gazprom come calling, know where to go. Yup, they can go to catering giant Compass,...

ELECTRICITY Skills dearth puts brakes on Finnish nuclear build.(Delay on nuclear reactors)(Brief article)
May 5, 2006... As news emerged last week that construction of Finland's fifth nuclear reactor was nine months behind schedule, the French-German consortium supplying the reactor claimed that difficulties in recruiting local labour and project sub-contractors...

WATER Defra calls for 10% water cuts from food industry.(Water Utilities)(Brief article)
May 5, 2006... Proposals to cut water use in the food industry by 10-15 per cent, and by 20-25 per cent in south east England, may not be practical, according to the Food and Drink Federation (FDF). The FDF said it had "longstanding concerns about the...

GAS Regional moves to boost competition.(Development of liquid gas hubs for trading)(Brief article)
May 5, 2006... European regulators have launched a series of regional initiatives to remove barriers to a fully open European gas market. Interested parties in four gas regional energy market projects will identify the issues to be tackled. They will...

GAS Gazprom ups German stakes.
May 5, 2006... by Simon Jones German gas importer Wintershall has taken a 35 per cent stake in SNGP, a subsidiary of the Russian gas giant Gazprom and licence holder for the huge Yuzhno-Russkoye gas field in Siberia. In return, Gazprom has increased its...

News.(Water Chemistry)(Brief article)
May 5, 2006... A water grid would be no panacea The average family of four uses two-thirds of a tonne of water a day, said Water UK in response to calls for a national water grid. Transporting it over large distances would require "major engineering...

ELECTRICITY Fee plan dropped after legal threat.(Cases of gas industry)(Brief article)
May 5, 2006... The threat of legal action by a group of German municipal utilities (Stadtwerke) has forced the Federal Network Agency (BNA) to drop plans to publish suppliers' internal pricing data for grid fees. More than 70 Stadtwerke had applied to the...

electricity Grid silent on houses and power line report.(Leakage reports)(Brief article)
May 5, 2006... by Trevor Loveday Ofgem and National Grid this week were eager to distance themselves from a leaked report that a government advisory group [degrees] which the watchdog and the company are members of [degrees] was likely to support calls...

ENERGY Iberdrola boosts EDP share.(Energias de Portugal)(Brief article)
May 5, 2006... Spain's second-biggest power utility, Iberdrola, has increased its stake in Portugal's Energias de Portugal (EDP) to 9.5 per cent from 5.7 per cent in a transaction worth [euro]332 million. Iberdrola said the move stemmed from its...

ELECTRICITY Brussels probes price fix for heavy industry in Italy.(Industrial power consumers)(Brief article)
May 5, 2006... The European Commission is sending a clear signal to national governments that it will not let them subsidise electricity bills to support specific industrial power consumers. The Commission has launched a probe into payments the Italian...

WATER London mayor looses salvo on desalination.(Desalination plants)(Brief article)
May 5, 2006... by Janet Wood London mayor Ken Livingstone has hit Thames Water with a salvo of accusations in his evidence to the public inquiry considering proposals for a desalination plant for east London, due to start construction later this month....

eLECTRICITY Portable plant to fill Norway's energy gap.(Gas power plants installed)(Brief article)
May 5, 2006... Norwegian network operator Statnett has presented an advisory report to the Department of Energy (DoE) suggesting that mobile gas-fired power plants could ease the energy deficit in central Norway. The DoE said energy and industry groups...

Forecasting generation costs.(Reports)
May 5, 2006... Gas and coal are likely to remain the cheapest forms of generation for the UK in the medium term and in the absence of far higher carbon dioxide pricing, according to Parliament. That was one conclusion in a report from the Commons...

News.(Claims over electric generators)(Brief article)
May 5, 2006... ELECTRICITY Row over [pounds sterling]1bn windfall' claim for generators A war of words has broken out over claims that Britain's power generators have made an estimated [pounds sterling]1 billion from the European Union Emissions...

Features.(Energy industries)(Interview)
May 5, 2006... PAN-UTILITY Economic nationalism is on the rise in Europe, typified by the Gaz de France/Suez merger bid REGULATION Regulators Philip Fletcher and Alistair Buchanan give their thoughts on pricing, competition and market structure in water...

ENERGY Policy dither stalls finance.(Government policy has stalled investment in power generation)(Brief article)
May 5, 2006... A lack of clarity in government policy has stalled investment in power generation even as energy industry stakeholders consider security of supply as their chief concern for the sector, according to a survey by market analyst Datamonitor. ...

WATER Code aims to avoid disputes over odour.(Complaints over odour)(Brief article)
May 5, 2006... Sewage plant operators may have to install additional odour abatement measures at their plants, under a new code of practice on odour nuisance from sewage treatment works. Remedies will have to be "reasonable" and not excessively costly. ...

The right fit.(Management of Business Process Outsourcing)
May 5, 2006... Customer service regulatory targets are a serious business for utility companies. For instance, water regulator Ofwat stipulates that a company must answer a customer query regarding the accuracy of their account within ten working days from...

Specialised diplomas to get [pounds sterling]50m funding.(Government finance for engineering)(Brief article)
May 5, 2006... by Zoe Grainge The government is to spend [pounds sterling]50 million on specialised diplomas for 14 to 19-year-olds, including one in engineering. The funds are part of the government's 14-19 reform programme targeting training and...

BG challenges industry to raise money for charity.(British Gas)(Brief article)
May 5, 2006... BG last week launched its annual Energy Challenge. The UK component of the international event will be held in Aberystwyth, Wales, on 6-9 July. The charity challenge comprises five events to be held over the next 12 months. They will take...

New water qualifications at NVQ level.(National Vocational Qualification)(Brief article)
May 5, 2006... Sector skills council Energy & Utility Skills (E&U Skills) has announced that a variety of qualifications for the water sector will be available in the coming weeks. The Network Construction Operations for water at levels 1, 2 and 3 have...

Nuclear waste casts a shadow.(Waste management)
May 5, 2006... Number Ten has expressly denied a report in last Friday's Financial Times which claimed the prime minister had taken a firm decision to back the building of a new generation of nuclear power plants. A press spokesman insisted that no...

PAN-UTILITY Sickness dogs utility manager performance.(Health aspects of utility managers)(Brief article)
May 5, 2006... Ill health among utility managers is impairing decision-making and "having an impact on morale and performance", according to findings from a recent survey by the Chartered Management Institute (CMI). A study of more than 1,500 utility...

ENERGY Ofgem will look at code compliance.(Compliance with the codes and agreements)(Brief article)
May 5, 2006... Energy regulator Ofgem is to carry out a review of compliance with industry codes as part of a re-appraisal of the merits of regulation and self-regulation. It has promised to publish details of the scope and timetable of the exercise by...

Features.(Coal reserves)
May 5, 2006... Energy supply in the UK is reaching a critical point. Steps must be taken now to ensure security of supply and prevent energy blackouts in the future. Britain escaped the effects of the gas row between Ukraine and Russia in January 2006,...

News.(Solent Sustainable Energy)(Brief article)
May 5, 2006... Palm on: Solent Sustainable Energy (SSEL) has been given the green light by Southampton planners for a combined heat and power (cogen) plant in the dock area of the city. During its first phase, it will heat more than 3,000 council houses and...

WATER Half the people support meters.(Water Consumption)(Brief article)
May 5, 2006... by Janet Wood More than half of UK consumers support the use of water meters, according to a poll carried out for Channel 4 News. Forty-seven per cent are still opposed. The poll of 1,000 people in late April found that water metering...

ELECTRICITY Russian cable bypass threat.(Finnish Regulations)(Brief article)
May 5, 2006... Russian power firm Rosenergoatom has threatened to bypass Finland and route its proposed 1GW subsea power cable between Estonia and Sweden if Finnish regulatory authorities decide to block or place tough conditions on the [euro]300 million...

GAS Producers urge limits on new data requirements.(Gas policies)(Brief article)
May 5, 2006... Gas producers want an assurance from the energy regulator that it will not insist on the publication of more detailed data on gas flows than required under a new measure approved by the Gas Electricity Markets Authority (Gema) last week. ...

News.
May 5, 2006... Vulnerable customers need more help Plans for an affordability scheme for vulnerable customers in Northern Ireland, operated via the benefits system, may help persuade the government that it is a better model than those used in England and...

Weak at the needs.(Satisfying customer needs)
May 5, 2006... An elderly gentleman living alone and financially struggling had arranged with his utility company to pay back arrears of less than [pounds sterling]40 at a rate of [pounds sterling]1 a week, then without warning the supplier raised this to...

Caught in the rush.(European retail markets)(Brief article)
May 5, 2006... It seems the Russians really are coming. All that has to be decided is whether they are coming to Europe or the US. Last week, the speculation (again) that the UK's Centrica was in the sights of Russia's gas behemoth Gazprom fired up the...

WATER Water companies should have 'early planning role'.(Water companies should have more involvement in planning)(Brief article)
May 5, 2006... Water companies should have more involvement in planning for major new developments, say water organisations. Noting that water companies are not statutory planning consultees, the Consumer Council for Water said there had not been much...

News.
May 5, 2006... Contamination: Bow Bridge borehole remains out of action five months after the Buncefield fire, along with a local pumping station, because Three Valleys Water is concerned about groundwater contamination. The company said it would "like to...

WATER Environment Agency 'slack on efficiency'.(Investment of water resources)(Brief article)
May 12, 2006... by Janet Wood The Environment Agency is not well placed to identify and implement efficiency savings because it is "only now" putting in place management information systems, planned since 2001, that enable it to cost activities...

Spring inaction.(Flexible contracts)
May 12, 2006... The April tender round this year was characterised by conservative reaction by the retail market to uncertainty caused by both high and volatile wholesale energy prices. The April 06 year price in 2004 was [pounds sterling]25.10/MWh and,...

News.(World's longest undersea cable)(Brief article)
May 12, 2006... Great lay: National Grid last week completed the 360km cable link between mainland Australia and Tasmania. The Grid won the [pounds sterling]320 million project to build and operate the world's longest undersea cable in 2000. It will deliver up...

GAS BG fired up by 400 per cent LNG profit hike.
May 12, 2006... An almost 400 per cent increase in operating profit from liquefied natural gas (LNG) helped boost profit at gas group BG for the first three months of 2006. The group reported exploration and production operating profit up 88 per cent to...

WATER Severn director is first casualty of misreporting.(Misreporting of leakage)(Brief article)
May 12, 2006... The customer relations director at Severn Trent Water, Jonathan Bailey, has become the first casualty of the company's misreporting of leakage and bad debt data to water regulator Ofwat. Although Bailey, who joined Severn Trent in 1997, was...

News.(Appointments)(Brief article)
May 12, 2006... Carron crows The owner of Uskmouth power station, Carron Energy, has appointed former British Energy chief executive Bob Hawley as chairman. The move followed the management buyout of Carron with partners Deutsche Bank and Trafalgar Asset...

News.
May 12, 2006... Brussels considering longer phases for ETS The European Commission has signalled it is considering longer trading periods for the European Union's ETS after 2012. The prospect surfaced as the forward carbon market showed some signs of...

ENVIRONMENT Carbon trade mooted for firms.(Carbon-equivalent credits under a trading scheme)
May 12, 2006... by Roger Milne A mandatory emissions trading scheme for UK half-hourly metered electricity sites such as major supermarkets, public buildings and office complexes could be cost-effective in reducing energy demand and promoting greater...

Features.(Long term contracts)(Brief article)
May 12, 2006... See you in court: competition authorities confident of legal backing to break long-term gas contracts A leading official at Germany's competition watchdog, the Federal Cartel Office (FCO), has predicted that by the end of the year the...

POLITICS Shuffle shakes utility politics.(Sustainability in general)
May 12, 2006... by Roger Milne Three government departments key to utilities have new top figures after last week's government reshuffle. Familiar faces have left the Department for Environment, Food and Rural Affairs (Defra). There was also a major...

Features.(Calendar)(Calendar)
May 12, 2006... THE 11 May Final day of UK Revenue Protection Association annual conference, Bromsgrove Launch of 2006 National Complaints Culture Survey results, London 15-16 May Meeting of parties to the UN Framework Convention on Climate...

WATER Suppliers give 'early start' mixed reviews.(Programme to reduce water investment peaks)(Brief article)
May 12, 2006... The impact of the "early start" programme to reduce water investment peaks and troughs "has not been as positive as hoped", British Water said in its annual review. It repeated the message when it responded jointly with the Society of...

Protection racket.(Utilities swallowed by international players)
May 12, 2006... Twenty years ago, and after considerable controversy, the Single European Act 1986 became law. Central to its provisions is the promotion of the internal market, whereby a genuine single market throughout the European Union is established. In...

Features.(Czech energy company builds two coal fired plants)(Brief article)
May 12, 2006... CEZ coals up Czech energy company CEZ is to build two new coal-fired power plants at Ledvice and Pocerady in the north of the country. Construction of the first, Ledvice, will begin in November 2007 with the start of operation scheduled...

ENERGY Enel set for Central push.(Acquisitions)(Brief article)
May 12, 2006... Italian energy giant Enel has completed its [euro]840 million purchase of a 66 per cent stake in Slovak generator Slovenske Elektrarne. It is the Italian company's largest foreign acquisition and chief executive Fulvio Conti vowed it would form...

ELECTRICITY Cost of loss torpedoes first code appeal.(Energy code change has been withdrawn)(Brief article)
May 12, 2006... The expected first-ever appeal to the Competition Commission over an Ofgem energy code change has been withdrawn at the eleventh hour after fears over possible punitive costs. New entrant Utilita was due to challenge Ofgem's decision over...

Wicks' wind is good for a laugh.(Renewable energy)
May 12, 2006... Energy minister Malcolm Wicks was one of the few ministerial survivors at the Department of Trade and Industry following last week's reshuffle. After all, it would have seemed a tad messy to move him on as the energy review reaches an...

ELECTRICITY Finns question generator ownership of nation's grid.(Fingrid's opposition is supported by its owners)(Brief article)
May 12, 2006... Finnish state-owned technical research agency VTT has questioned the wisdom of letting the country's big domestic power generators such as Fortum and Pohjolan Voima own shares in grid operator Fingrid. "Large electricity producers should...

ENERGY Flawed policy relies on 'unstable' supplies.(Energy analysis)(Brief article)
May 12, 2006... by Keith Nuthall A leading member of previous European Commissions last week criticised European Union energy policies for making Europe dependent on unstable states for its energy supplies. Austrian politician Franz Fischler, whose...

The water and electricity mix.(Interview with Chairman of the Water Services Regulation Authority and Chief executive of Ofgem)(Interview)
May 12, 2006... At the recent Adam Smith Institute Future of Utilities conference, regulators Alistair Buchanan and Philip Fletcher compared notes on key utility issues. Utility Week's editor, Steve Hobson, took the opportunity to quiz the two men on their...

Features.
May 12, 2006... multi-utility Suez/GDF merger gains to hit [euro]1bn French energy group Gaz de France (GDF) and multi-utility Suez last week more than doubled their forecast of the benefits that would accrue from their proposed merger, to more than...

ENERGY Germany overhauls regulation.(Incentive-based regulatory system)(Brief article)
May 12, 2006... by Simon Jones German energy regulator Matthias Kurth has outlined a new, incentive-based regulatory system for the country. Details should be finalised this summer and the regime put into effect in January 2008. In a 240-page draft...

Features.(Smart Meters )
May 12, 2006... While energy suppliers were generally puzzled rather than angry when Energywatch launched its "super-complaint" over billing last year, one positive result for the industry and consumers is the creation of an energy supply ombudsman. While...

Sprint for the line.(Energy Development)
May 12, 2006... Last month, the tabloids missed an opportunity when a joint venture between a German-owned water company and a French-owned energy group won a deal to provide utility infrastructure in a massive overhaul of accommodation for 18,000 members of...

ELECTRICITY Treasury refuses to justify renewables cash raid.(Non-Fossil Purchasing Agency contracts)(Brief article)
May 12, 2006... The Treasury has refused to publish legal advice that allowed funds from the Non-Fossil Purchasing Agency (NFPA) to be transferred to the Treasury. The NFPA buys power produced under Non-Fossil Fuel Obligation contracts and auctions it to...

Features.(Interview with Chief executive of the Water Industry Commission for Scotland )(Interview)
May 12, 2006... INTERVIEW Chief executive of the Water Industry Commission for Scotland Alan Sutherland justifies his 2006-10 determination for Scottish Water ENERGY The planning regime has emerged from the energy review as a major hurdle to development....

ENERGY EU watchdog plan panned.(European Union)(Brief article)
May 12, 2006... Major UK energy suppliers and the generating sector have voiced concern to Parliament over the prospect of a Europe-wide energy regulator. The European Commission has recently suggested that an EU energy watchdog might be needed to ensure the...

ENERGY Pensioners outstrip young in energy saving efforts.
May 12, 2006... Energy saving is poorest among 18 to 24-year-olds, according to a survey for LogicaCMG and the Future Foundation. Although 77 per cent of consumers said they "do a lot" to reduce energy consumption, those saving most were the 65-plus age...

ENERGY Nordic market needs co-operation.(Investment strategy for green energy)(Brief article)
May 12, 2006... Sweden's prime minister, Goran Persson, last week warned that greater inter-governmental co-operation was needed to remove bottlenecks from the Nordic power system. Persson said stable prices and efficiency must become two of the prime...

gas Norway urged to hold on to gas reserves.(Fulfill electricity needs)(Brief article)
May 12, 2006... Norway's energy minister, Odd Eriksen, last week warned that the country needed to set aside gas reserves from commercial offshore fields to supply mainland gas-fired power plants. "We need to evaluate Norway's long-term electricity needs....

electricity Ofgem holds fire on Grid probe over target snub.(No cost incentives, the firm will lose an opportunity to outperform its target)(Brief article)
May 12, 2006... Ofgem has backed down from taking National Grid before the Competition Commission after the network giant rejected the regulator's incentive targets for its power transmission business for 2006. The watchdog opted "in the interests of...

ENERGY Ofgem backs carbon contracts regime.
May 12, 2006... by Roger Milne Ofgem has, for the first time in public, voiced support for a carbon contracts scheme. Backing for the idea was highlighted in the regulator's submission to the government energy policy review. Long-term carbon...

ENERGY Suppliers will share telecoms ombudsman.(Resolving disputes)(Brief article)
May 12, 2006... Energy retailers will have to join an independent Alternative Dispute Resolution (ADR) scheme by July as part of the industry's response to the billing super- complaint lodged by Energywatch last year. The Energy Supply Ombudsman scheme...

GAS Ofgem ponders incentives for network extensions.(Gas Distribution)(Brief article)
May 12, 2006... Energy regulator Ofgem wants the first price control for the eight gas distribution networks to include incentives for network extensions, Parliament heard this week. Giving evidence to the Commons Public Accounts Committee on Monday,...

News.(Human resource management of energy industries)
May 12, 2006... It has been widely acknowledged that utilities suffer from an image problem when it comes to attracting new blood to their ranks. But whatever the public thinks about a career in electricity, gas or water engineering, the image of nuclear...

WATER Think-tank says Scot Water sale 'essential'.(Scottish Water remains in the public sector)(Brief article)
May 12, 2006... by Janet Wood It is "essential" that Scottish Water is privatised so it can manage financial risk, according to a Scottish think-tank report. Scottish Water's funding from the Scottish Executive was not dedicated to the firm and its...

Features.(Sustainable regulations)
May 12, 2006... As Ofwat goes out to consultation on its new sustainable development duty, the arguments continue as to whether regulation helps or inhibits innovation for sustainability. Britain's utility companies depend on large, distributed...