Utility Week articles from September 2004

Utility Week archives from September 2004

ELECTRICITY; British Energy faces high noon with rebel investors.(British Energy PLC)(Brief Article)
September 10, 2004... British Energy was this week looking at a showdown with rebel investors bidding to scupper the government's rescue package for the crippled company. Hedge fund manager Polygon Investments, which has a 5.6 per cent stake in British Energy,...

PAN-UTILITY; Telecoms staff top productivity poll.(Brief Article)
September 10, 2004... Telecoms had the most productive workforce of 14 industry sectors surveyed, according to a recent study by pollster Gallup. Each employee wasted a mere 61 days a year on average. The researchers found that UK productivity - at 63 per cent -...

ELECTRICITY ; CEZ income rockets with acquisitions.(Czech Power Company)(acquisitions of electricity distribution companies)(Brief Article)
September 10, 2004... Dominant Czech power group CEZ reported a 58 per cent jump in consolidated first half net income to z229 million. The increase was distorted by a significant enlargement to the group - the five regional Czech electricity distribution...

PAN-UTILITY; Utility call centres 'worst offenders', says survey.(Brief Article)
September 10, 2004... Utilities have emerged as the 'worst offenders' in a survey of customer opinion of call centres. The survey was carried out by polling firm Mori on behalf of rights watchdog Citizens Advice. Water, gas, power and telecoms companies left 39...

ENERGY; Czechs face gas price rises of 13%.(Brief Article)
September 10, 2004... Czech gas prices will rise by 13 per cent on average from October because of higher oil prices, the Czech Energy Regulatory Office ruled last week. Households will pay an average of 11 per cent more, while businesses face jumps of 13 to...

GAS; Benefits of network auction 'limited'.
September 10, 2004... by Roger Milne The sale of half of National Grid Transco's eight gas distribution networks will mean a [pounds sterling]2 billion windfall for shareholders, but customer benefits could be hit because the buyers will need to claw back the...

The only game in town.(electricity distribution price control review)
September 10, 2004... With the publication in June 2004 of energy regulator Ofgem's initial proposals, the electricity distribution price control review has entered a critical phase. A further update document is due this month, but the 14 distribution companies of...

New recruits drying up.(Energy and Utility Skills)
September 10, 2004... T he utility industry's potential skills shortage is a worry, and has been highlighted by research into the water industry by sector skills council Energy & Utility Skills (EU Skills). In a fragmented water industry, EU Skills says a...

ELECTRICITY; Belgian wires float delayed until 2005.(public share offering of Electrabel S.A./N.V.)(Brief Article)
September 10, 2004... A public share offering in the electricity transmission network operation of Belgian energy group Electrabel will probably go on hold until next year due to 'legal uncertainties'. 'It's possible to go for an initial public offering in...

gas; Eon preferred for Romanian distributor.(EON Corp.)(Brief Article)
September 10, 2004... German energy giant Eon has strengthened its strategic position in eastern Europe with moves into energy supply and distribution in Romania and Bulgaria. The company's Ruhrgas subsidiary has been selected as the preferred bidder for...

It'll all come out in the wash.
September 10, 2004... Anglian Water has had a rather torrid time of late but some things, the great man can reveal, have gone to plan and are winning plaudits. Readers may not be aware but its construction and development arm, AWG, was responsible for building...

TELECOMS; FT 'privatised' with stock market placing.(France Telecom S.A.)(Brief Article)
September 10, 2004... by Zoe Grainge The French government effectively privatised telecoms giant France Telecom last week after placing 10.85 per cent of its stake in the company on the market, raising q4.5 billion. The move, brought about by finance...

GAS; German fury prompts gas price rise probe.(Federal Cartel Office)(Brief Article)
September 10, 2004... by Simon Jones The wave of double-digit gas price rises that has hit Germany is set to be investigated by the Federal Cartel Office (FCO), after furious protests from consumer groups and politicians. FCO president Ulf Boge said: 'There...

ELECTRICITY; FCO probes grid charges.(Federal Cartel Office's investigation of higher power grid charges)(Brief Article)
September 10, 2004... Germany's competition watchdog, the Federal Cartel Office (FCO) is to investigate higher power grid charges announced by leading suppliers RWE and EnBW. The authority is already investigating Vattenfall Europe's plans to charge rival...

ENERGY; Iberdrola launches renewables firm.(Aeolia)(Alberto Mesquita)(Grupo Visabeira)(Brief Article)
September 10, 2004... Spanish power utility Iberdrola has teamed up with two Portuguese industrial companies to launch a renewable energy company, Aeolia. The new Lisbon-based company will be 78 per cent-owned by Iberdrola and has been set up to exploit the...

Get it together.(asset management)
September 10, 2004... Utilities have long recognised that assets should not be considered in isolation. But recognition is no longer enough: the industry must now look beyond the buzzwords of 'asset management'. To provide maximum benefit in the short and longer...

Stormy weather.
September 10, 2004... Utility Week welcomes back all its readers from the long summer break. It has been a stormy summer, and not just for the unfortunate residents of Boscastle. After a string of alarming stories about energy, that sector has emerged pretty...

ENVIRONMENT; UK blasts Europe for fudging carbon plans.(Emissions Trading Scheme)(National Allocation Plan)(Ecofys analysis)(Brief Article)
September 10, 2004... by Roger Milne The British government has warned that Spanish and French proposals for taking part in the European Union's Emissions Trading Scheme (ETS) could prompt 'damaging competitive distortion' after a detailed critique of the way...

Suez.(Brief Article)
September 10, 2004... by Zoe Grainge French company Suez has continued with its multi-utility strategy when most of the industry has preferred to focus on a single market segment. It enjoys a diversified business profile, resilient cashflows and top-tier...

ENERGY; Italian treasury to raise money from flotation.(Italian treasury)(CDP)(Brief Article)
September 10, 2004... The Italian treasury has announced plans to float a 10-20 per cent stake in energy giant Enel. Enel chief executive Paolo Scaroni hopes to raise up to e8 billion from this latest tranche of shares. Enel's latest share offering will run from...

Ulster gets state water.(GoCo)( Northern Ireland General Consumer Council for Northern Ireland)(Brief Article)
September 10, 2004... Northern Ireland has opted to set up a government-owned company, or 'GoCo', to supply water and sewerage services to customers from April 2006. The move, part of sweeping reform to the Ulster Water Service, was deemed the best of a range...

TELECOMS; Ofcom raps BT over broadband pricing.(British Telecommunications PLC)
September 10, 2004... by Zoe Grainge BT's rivals in the residential broadband market could see wholesale prices slashed after a threat by communications regulator Ofcom to find against the company over abuse of its dominant position in the market. Ofcom...

ENERGY; Supply security needs [pounds sterling]18bn.(Oxera )(Brief Article)
September 10, 2004... Capital investment to ensure security of energy supply is set to switch significantly over the next five years with the current emphasis on offshore gas production schemes in the North Sea being replaced by a rash of new import terminals and...

BG finds the spirit to take on the world.(Brief Article)
September 10, 2004... by Zoe Grainge Twelve employees of gas exploration and production company BG, including chief executive Frank Chapman, will next month set sail in the Global Challenge around-the-world yacht race. BG is sponsoring the event, which in...

ICE calls for creation of chief engineering advisor.(Institution of Civil Engineers)(Brief Article)
September 10, 2004... Seventy-seven per cent of members of the Institution of Civil Engineers (ICE) surveyed in a recent study supported calls for the creation of an independent chief engineering advisor. The ICE said the post should be modelled on the chief...

IBM 'top talent' spotter takes on the utilities.(Blue Sky Consulting)(Brief Article)
September 10, 2004... Former IBM 'top talent' consultant Nicola Sawford has moved to Blue Sky Consulting to head its utilities practice. She is well-known in the utility industry, having set up North Wales Energy in 1995 while working for Dee Valley Group. ...

More hot air on green policy.(green energy)
September 10, 2004... The Westminster 'village' was back in business this week with the prime minister insisting that Labour must be bold if it expects a third term. 'Now is not the time for caution,' Tony Blair told the Party faithful last week as he set out...

Power prices ride high.(Brief Article)
September 10, 2004... Energy companies have unveiled heavy price increases, sparking renewed calls for investigations into the cause of soaring wholesale gas prices prices. Market analyst Datamonitor predicted British Gas, which made the largest increases,...

ELECTRICITY; Deep water windfarm to get [pounds sterling]10m funding.(The Scottish Executive)(Brief Article)
September 10, 2004... Plans for a deep water windfarm demonstration project were set to go ahead after funding for the scheme was confirmed this week. Scottish and Southern Energy and oil and gas producer Talisman Energy will build the scheme 25km off the east...

ENERGY; Firms must report better to get cash.(Brief Article)
September 10, 2004... Energy firms must overhaul their reporting procedures if they are to attract [pounds sterling]9 trillion of necessary investment over the next 30 years, accountant KPMG has warned. Sarah McNaught, head of oil and gas at KPMG, said there...

WATER; Failure looms over Water Framework Directive.(Water Framework Directive )(Brief Article)
September 10, 2004... Many rivers and other bodies of water in England and Wales are likely to fail Water Framework Directive standards, according to recent findings. Data just released by the Environment Agency has identified potential pressures on water...

WATER; Scots on benefits to pay less.
September 10, 2004... by Karma Ockenden Scottish families on Council Tax benefit are to get money off their water bills. Environment minister Ross Finnie announced last week that the Scottish Executive intended to introduce a water charge discount for...

ENERGY; Statkraft set to make new acquisitions.(Brief Article)
September 10, 2004... by Gerard O'Dwyer Norwegian energy giant Statkraft looks set to embark on an acquistion trail after it confirmed it would divest power generation worth z1.5 billion. The state-owned group said it would use capital raised through the...

MULTI-UTILITY; Disposals help Suez reverse losses.(Brief Article)
September 10, 2004... French multi-utility Suez climbed out of the red to make a net profit of e1.31 billion for the six months to 30 June 2004, compared with a e1.64 billion net loss a year ago. The forecast-topping results were helped by a e753 million capital...

TELECOMS; Swisscom bid for Telekom Austria stalls.(Brief Article)
September 10, 2004... State-owned telecoms operator Swisscom's takeover bid for Telekom Austria has collapsed because of opposition from Austrian politicians. Last month's bid by Swisscom was rejected after Austrian politicians expressed concern at the prospect...

TELECOMS; More spent on mobiles than fixed-line services.(Ofcom)(Brief Article)
September 10, 2004... Consumer spending on mobile telecoms services (voice and text) for 2003/04 has exceeded that of fixed-line calls for the first time, according to communications regulator Ofcom. In the first of an annual communications market report, Ofcom...

TELECOMS; Spanish broadband gets billions.(Brief Article)
September 10, 2004... Spain's biggest telecoms company, Telefonica, is set to spend e3 billion on expanding its domestic broadband network between 2004 and 2008. Speaking at an industry conference, chairman Cesar Alierta said Telefonica had already spent e250...

WATER; Thames fine is 'too little'.(Brief Article)
September 10, 2004... The Environment Agency has criticised as too low a [pounds sterling]10,000 fine on Thames Water for polluting a stream in Sevenoaks with raw sewage. Maidstone Crown Court heard that more than 2,000 fish died when sewage overflowed from...

TELECOMS; Thus wins deal for ScotPower voice and data.(Brief Article)
September 10, 2004... Corporate telecoms provider Thus has won a multi-million pound contract with former owner ScottishPower to provide a managed solution covering voice and data services across all of ScottishPower's sites in the UK. The deal, which runs...

ELECTRICITY; Vattenfall looks to double capacity.(Brief Article)
September 10, 2004... Swedish energy giant Vattenfall has unveiled plans to double its generation market share in the European Union. Company chief executive Lars Josefsson said Vattenfall would seek to up its hold on the European power generation market from...

NGT sells networks.(National Grid Transco)(Brief Article)
September 10, 2004... According to the Sunday Telegraph, Roger Urwin, chief executive of National Grid Transco was 'perturbed' that Transco's share price failed to rise after the announcement of its successful sale of four regional gas distribution networks last...

WATER; Firms lash Ofwat cost cuts as 'unrealistic'.(Brief Article)
September 10, 2004... by Karma Ockenden Ofwat's efficiency assumptions for 2005-10 are too aggressive and not grounded in fact, the water industry has said. Breaking its silence on the price review draft determinations, Water UK said some companies were...

Capital punishment.
September 10, 2004... Ofwat's draft decision on the capital investment programme necessary in 2005-10 has divided industry stakeholders. Set at [pounds sterling]15.7 billion, or [pounds sterling]681 per property, there are those - such as contractors to the industry...

Half cut.
September 10, 2004... Last month, water regulator Ofwat told the companies under his charge that they could make do with half as much extra money as they had asked for to finance their activities during 2005-10. While everyone expected Ofwat to peg back their demand...

ELECTRICITY; UK and Spain top league for wind investment.(Brief Article)
September 10, 2004... The UK and Spain tie as the best places to invest in wind power, according to a report by consultancy Ernst & Young. On the Ernst & Young all-renewables index, Spain topped the list followed by the UK and the US in third place. Issues...

WATER; Regulation key to private success.(Brief Article)
September 10, 2004... Effective regulatory structures are essential if private involvement in the developing world's water is to be successful, according to the World Bank. In a study, the global lender said regulatory regimes, including the economic elements,...

ONE.(SEAMS)(Interview)
September 10, 2004... minute interview Name Dr Peter Skipworth Age 34 Company SEAMS Job title Managing director, overseeing the rapid expansion of this young company that provides asset management software called WiLCO. ...

ENERGY; Customers pay the price for slow EU liberalisation.(Brief Article)
September 10, 2004... Customers are being penalised by the slow pace of energy market reform in the European Union, consultants and analysts have warned. According to Brian Little of UK consultancy Energy Markets, the extra cost faced by gas consumers across the...

TELECOMS; Deutsche Telekom interim profits soar 64% to e1.8bn.(Brief Article)
September 10, 2004... German telecoms giant Deutsche Telekom has recorded a net profit of e1.8 billion for the first six months of 2004, 64.5 per cent up on the same period the previous year. The company, which a few years ago grappled with a debt mountain of...

Smart metering system launched.(Global Metering )(Brief Article)
September 10, 2004... The manufacturer of a mobile network-based smart power metering system has claimed it could reduce suppliers' manpower costs by 20 per cent. Orange has joined forces with metering firm Global Metering to produce a metering system for the...

WATER; Augean gambles on merger rules relaxing.(Brief Article)
September 17, 2004... by Karma Ockenden In a demonstration of confidence that existing restrictions on water mergers will be relaxed after the price review, acquisition-hungry Augean has made a [pounds sterling]2 million debut on the Alternative Investment...

ELECTRICITY; British Energy rebels hit by double setback.(British Energy PLC)(Brief Article)
September 17, 2004... by Trevor Dooley shareholders in stricken nuclear generator British Energy rebelling against the government's [pounds sterling]5 billion rescue package, which leaves them with just 2.5 per cent of the company, were dealt a double blow this...

TELECOMS; MMO2 slams utility billing.(Otelo)(Brief Article)
September 17, 2004... The chief executive of mobile telecoms operator MMO2, Peter Erskine, said last week that billing in the energy and water sectors was 'nothing like as accurate' as billing in the mobile telecoms industry. The comment came as telecoms...

ENERGY; Retailers hang on to right to cut off 'defiant debtors'.(Energy Retailers Association)(Brief Article)
September 17, 2004... Energy retailers have reaffirmed their resistance to a ban on disconnections in response to a challenge by energy regulator Ofgem to develop measures to protect vulnerable customers. The Energy Retailers Association (ERA) said: 'We strongly...

ENERGY; Dong warned despite top credit rating.(Brief Article)
September 17, 2004... Denmark-based energy company Dong has been assigned an 'A' rating by credit ratings agency Standard & Poor's (S&P), but the agency warned that potential instability in the gas supply market and exposure to the volatile upstream gas business...

ELECTRICITY; 'Major challenges' for new EDF chair.(Brief Article)
September 17, 2004... The new chairman of Electricite de France (EDF), who is the current chairman of Gaz de France, will face 'at least six major challenges already weighing down his in-tray', according to market analyst Datamonitor. Pierre Gadonneix's...

ENERGY; Eaga moves into mainstream heating.(Zen International)(Brief Article)
September 17, 2004... David Hodges, most recently a director at AA Centrica and formerly director of British Gas's home improvement service, has been appointed head of Eaga Partnership's venture in central heating installation outside the subsidised public housing...

MULTI-UTILITY; Enel profits up despite slide in sales.(Brief Article)
September 17, 2004... Despite falling revenues in its core electricity businesses, Italian energy giant Enel reported a first-half year profits rise at the division. Generation and energy management sales in the first half of 2004 fell 2.6 per cent to e6.03...

ELECTRICITY; Firms slam Brussels' energy saving plan.(Brief Article)
September 17, 2004... by Trevor Dooley European power companies have blasted the European Commission's draft directive on energy user efficiency as 'incompatible with the functioning of a liberalised electricity market'. European Union power industry...

ENERGY; Public outcry sparks German charge probe.(Brief Article)
September 17, 2004... by Simon Jones German Chancellor Gerhard Schroeder has called an early energy summit as the public outcry mounts over the latest round of energy price rises. The chancellor will meet with consumer groups and heads of industry, who...

What a difference a day makes.(energy minister's travel to China)
September 17, 2004... Stephen Timms (number five in an occasional series of recent Labour energy supremos) could be forgiven for feeling somewhat schizophrenic. Ten days ago he left these shores for an official trip to China as energy minister, but returned at...

Flexible friends.(Electric utilities)
September 17, 2004... It's a common moan in today's highly-connected world that there is such a thing as being too connected. But there are also advantages, and obviously utilities want to exploit systems to their own (and customers') benefit. One obvious area where...

Singles blight.(lone workers' safety)
September 17, 2004... A poll of Unison members undertaken at its annual conference in June revealed a startlingly high number of incidents of abuse against lone workers. Ninety-two per cent of those questioned said that lone workers in their organisations were...

Time and motion.
September 17, 2004... Field operations offer the potential to improve the bottom line. The environment is right for European utilities to realise value through the application of mobile and scheduling technologies in all aspects of their field operations. There...

Road to know-where.
September 17, 2004... The British economy loses more than [pounds sterling]2 billion every year through the disruption, delay and inconvenience caused by utility and contractors' streetworks. Laws set up to control the disruption caused by holes in the road were...

Playing the field.
September 17, 2004... Empowering staff to work independently enhances productivity and is widely accepted as a progressive business practice. Utilities in particular stand to benefit from this mode of working, given their large numbers of field staff. Various...

Say it with a smile.(Customer service)
September 17, 2004... Time and time again the question of how to offer a consistently good customer experience has centred on the right problem, but not the right solution. Challenges to delivering a great customer experience start with the first point of contact in...

ENVIRONMENT; Germany and the EC in carbon row.(European Commission)(Emissions allowances)(Brief Article)
September 17, 2004... Germany is contemplating court action in an increasingly fractious row with the European Commission over the Commission's stance on the way the German government is proposing to allocate carbon emissions allowances under the Emissions Trading...

eNERGY; Climate threat goes political.
September 17, 2004... by Roger Milne The threat of climate change caused by global warming climbed higher up the political agenda this week with both the prime minister and his chief Opposition rival banging the drum for concerted action in separate keynote...

BEbattle is on again.(Brief Article)
September 17, 2004... The British Energy battle appears to be on the boil again, according to The Business. European Commissioners are about to meet rebel BE shareholder Polygon this week to discuss plans for an alternative restructuring of the company. The...

WATER; Ulster customers to be hit by hefty bills.(water and sewerage bills)(Brief Article)
September 17, 2004... by Karma Ockenden From paying far less for their water and sewerage than their counterparts in England and Wales, customers in Northern Ireland are to be hit with bills for significantly more. Minister of State John Spellar announced...

It really is good to talk.
September 17, 2004... It is ten years since BT enshrined the phrase 'it's good to talk' in utility marketing history, but it seems some utility businesses are only just cottoning on to the idea. Utility companies continually bombard their customers with messages...

WATER; Capital outlay expected to rise to [pounds sterling]4bn.(Researcher Market & Business Development )(Brief Article)
September 17, 2004... Researcher Market & Business Development (MBD) has forecast capital expenditure in the water and sewerage sector will rise by 2 per cent this year to [pounds sterling]4 billion. Despite annual investment increasing for most of the past few...

Power generation on the up.
September 17, 2004... Total electricity generated in the UK in 2003 exceeded generation in 2002 by four per cent, according to the latest energy statistics compiled by the Department of Trade and Industry and published in its 2004 digest. This rate of growth...

PAN-UTILITY; NCC demands access and price justice.(National Consumer Council)(Brief Article)
September 17, 2004... The National Consumer Council (NCC)has demanded a strategic rethink on how poor customers access and are charged for their utilities. It pointed out the poor pay more for their services - for example, those on prepayment meters in 2003 paid...

ScottishPower.(Damhead Creek Power Station)
September 17, 2004... by Trevor Dooley Next year the Scottish power market will be merged with that of England and Wales. The aim of the exercise is to bring to Scotland the same competitive environment in generation that has existed south of the border for...

UVDB: an interactive forum for utilities.
September 17, 2004... Achilles has put together a full programme of events for UVDBlive 2004, to deliver a vibrant, interactive forum for everyone who's involved in tender management or supply chain services within the utilities sector. No-Dig Live and Pipelines...

WATER; No deal as competition forum closes.(Brief Article)
September 17, 2004... Stakeholder groups assembled by Ofwat to thrash out the thorny issues concerning water competition are to disband without a consensus being found. Major user representative the Energy Information Centre (EIC), which was on the panel...

eLECTRICITY; Brussels in new bid to strengthen atom laws.(Brief Article)
September 17, 2004... by Roger Milne The European Commission signalled last week that it still wanted to push ahead with a package of new laws on nuclear safety and radioactive waste which have generated opposition from a group of members states. Energy...

ELECTRICITY; Nordic players in talks to end bottlenecks.(Nordenergi)(Brief Article)
September 17, 2004... Nordenergi, the central collaborative organisation for Nordic electricity generators and distributors, is to meet with energy ministers from all five Nordic states in October to discuss a common strategy to remove 'remaining problems' with...

POLITICS; Timms returns to Treasury; as O'Brien takes energy.(Brief Article)
September 17, 2004... The government has appointed its sixth energy minister in the space of seven years following last week's mini-reshuffle. Stephen Timms MP has returned to the Treasury to be replaced as energy minister by trade and investment minister Mike...

ONE.(Ewan Group)(Interview)
September 17, 2004... minute interview Name Ruth Allen Company Ewan Group, management and technical consultants to the utilities and environment Job title Chief executive career history Previously a group director and...

Encouraging loyalty.
September 17, 2004... In the 'good old days' an unspoken psychological contract existed between utilities and their employees. Job security, training, development and an attractive final pension scheme were the employee benefits. These were traded for company...

Climate change makes waves.
September 17, 2004... Just when Stephen Timms was beginning to look like a fixture as energy minister he has been reshuffled back to the Treasury, leaving the door ajar for Mike O'Brien MP, already a trade and industry minister. The energy sector may feel...