Electric Power news briefs, July 17

International Power PLC, London, said the second unit at its 570 Mw Blackstone power plant near Boston, Mass., has begun operation. With the conclusion early next year of the first phase of its ongoing US construction program, International Power said its total installed generating capacity in the US will be 4,400 Mw.

The National Rural Electric Cooperative Association, the National Rural Telecommunications Cooperative, and DBS Industries Inc. reported signing an agreement to work toward developing real-time energy automation services. The agreement calls for focusing attention on curtailing peak electric load demand, remotely deactivating and reactivating load control devices, and real-time reading of metered data.

Cayenta, a subsidiary of Titan Corp., San Diego, Calif., reported it has signed multiple customer agreements for its suite of utility and financial applications software with a combined value exceeding $11 million. The Kansas City Board of Public Utilities; the city of Rock Hill, SC; EnergyUnited, North Carolina's largest electric cooperative; and the city of Shelby, NC, have selected Cayenta as a software vendor, the company said.

Aquila Inc., Kansas City, Mo., and Calpine Corp., San Jose, Calif., reported the joint venture Aries power project near Pleasant Hill, Mo., is generating 320 Mw of electricity in simple cycle. Beginning Oct. 1, the project will temporarily cease operations to complete construction and begin combined cycle operations in January 2002. Upon completion, Aries will provide 600 Mw of power to Missouri and the surrounding area.

El Paso Corp., Houston, and GDF Energy Inc., a unit of Gaz de France, reported an open season for the proposed development of 3 bcf of high deliverability natural gas storage capacity from a new facility to be constructed in Schuyler County, NY. The facility will be capable of providing 10-day withdrawal service and 20-day injection service. Proposed interconnects will be with Dominion Transmission and Tennessee Gas Pipeline Co. The capacity is anticipated to be available for service October 2004. Depending on market support, the facility may be expanded over multiple phases to a total capacity of up to 10 bcf, the companies said.

Citing lower gas costs, NCNG, Raleigh, NC, a unit of Progress Energy Inc, asked the North Carolina Utilities Commission to reduce customer rates 9.7% effective Aug. 1, the third reduction proposed by NCNG this year. The average NCNG monthly residential bill would be reduced to $57.37 from $63.51.

Nicor Energy Inc., Lisle, Ill., said the Iowa Utilities Board has certified Nicor as an energy provider in Iowa. Nicor Energy is a joint venture between Nicor Inc., Naperville, Ill., and Dynegy Inc., Houston, that offers natural gas, electricity and energy-related services to industrial, commercial, and residential customers in the Midwest.

KeySpan Corp., Brooklyn, Tuesday said its second quarter and full year earnings would fall short of forecasts due to lower natural gas prices and lower New York City electricity prices. KeySpan said it is taking a one-time after-tax charge of $30 million, or 22¢/share, in the second quarter. The company said it expects earnings of about 16¢/share for the second quarter, excluding the one-time charge. For the full year, excluding the special charge, the company said it reduced its earnings expectations to a range of $2.50-$2.60/share from a previous forecast of about $2.70.

Reliant Energy Services Inc., a unit of Reliant Energy Inc., Houston, has signed a 5-year agreement for 1,000 Mw of power from Calpine Corp., San Jose, Calif., Calpine reported. The contracts will begin with the start of deregulation in the Electric Reliability Council of Texas, which is expected to begin Jan. 1, 2002. Separately, Calpine said it will build a $470 million 900 Mw gas-fired electric generating facility called the Sherry energy center in Wood County, Wis. Contracts for 336 Mw of power have been signed with Wisconsin Electric Power Co., a unit of Wisconsin Energy Corp, Milwaukee, and Wisconsin Public Service Corp., a unit of WPS Corp., Green Bay, Calpine said.

Alliant Energy-Wisconsin Power & Light, Madison, Wis., said it filed an application with the Public Service Commission of Wisconsin to recover costs associated with increased operating and maintenance costs and the replacement of the steam generator at the jointly owned Kewaunee nuclear power plant. The company is requesting a $19.2 million increase, effective Dec. 1, 2001, to cover its portion of the costs.

The Idaho Public Utilities Commission set an Aug. 13 deadline for comments regarding Avista Utilities' application to increase annual revenue by about $6.9 million, or 11.5%. If approved, the utility, a unit of Avista Corp., Spokane, Wash., estimated bills of residential or small-business customers using an average of 80 therms/month of gas will rise about $6.91, or 10.14%. Large commercial customers' bills would rise 11.5%.