Utility power prices rise 10.9% on year for large users: Survey

Utility power prices rise 10.9% on year for large users: Survey

Washington (Platts)--1May2006

Electricity prices in April 2006 for large customers were up 10.9%
compared with the same period in 2005, according to a survey of 24 of the
largest investor-owned utilities in the US by NUS Consulting Group.

The survey found that the average price for industrial customers with
monthly usage of 450,000 kWh was 8.82 cents/kWh as of April 1, compared with
7.95 cents/kWh in April 2005.

NUS said utilities with the highest prices in the survey can be found in
states that have restructured their retail markets and have retail
competition, and it noted that utilities in Texas joined the group and power
prices there have risen there, following gas prices in the past year.

"Considered in the past by many as a means of lowering electricity
prices, the central promise of deregulation has yet to be fulfilled for many
consumers," NUS said.

The five highest-priced utilities in the survey were Consolidated Edison
in New York, Reliant Energy in Texas, Public Service Electric & Gas in New
Jersey, Texas Utilities and National Grid in New York.

The lowest-priced utilities among the 24 surveyed were Dominion Power in
Virginia, AmerenUE in Missouri, Duke Energy in North Carolina, Ohio Power and
Xcel Energy in Minnesota.

The survey shows the interconnection between power prices and gas and oil
prices has risen in the past year, said NUS, based in Park Ridge, New Jersey.

"Those people looking for some level of relief need to understand that
higher prices are here to stay and [customers need] to take matters into their
own hands rather than to wait for some magic reduction in market prices,"
Richard Soultanian, co-president of NUS, said.

For more information, take a trial to Platts Electric Utility Week at
http://electricutilityweek.platts.com.

Please visit: www.platts.com

Their coverage of energy matters is extensive!!.