FERC Orders Two Ariz Utilities To Issue Refunds

Dow Jones & Company, Inc. - Dec 15

The Federal Energy Regulatory Commission Wednesday found two utilities in Arizona in violation of the agency's open access transmission rules meant to prevent market abuse.

The commission directed Arizona Public Service to refund $4 million , which FERC determined will go to low-income energy assistance programs in the state and to upgrade the utility's transmission system to better serve its customers.

Also, FERC directed Tucson Electric Power Co. to refund about $25,000 for violating the agency's transmission rules by not adequately posting the availability of certain transmission services.

FERC also found that Tucson Electric Power violated the agency's standards of conduct rules.

FERC became aware of the violations through routine audits its staff conducted between January 2002 and October 2003 .

-By Maya Jackson Randall , Dow Jones Newswires; 202-862-9263; Maya.Jackson- Randall@dowjones.com

found two utilities in Arizona in violation of the agency's open access transmission rules meant to prevent market abuse.

The commission directed Arizona Public Service, a unit of Pinnacle West Capital Corp. (PNW), to refund $4 million , which FERC determined will go to low- income energy assistance programs in the state and to upgrade the utility's transmission system to better serve its customers.

Also, FERC directed Tucson Electric Power Co., a unit of Unisource Energy Corp. (UNS), to refund about $25,000 for violating the agency's transmission rules by not adequately posting the availability of certain transmission services.

FERC also found that Tucson Electric Power violated the agency's standards of conduct rules.

FERC became aware of the violations through routine audits its staff conducted between January 2002 and October 2003 .

-By Maya Jackson Randall , Dow Jones Newswires; 202-862-9263; Maya.Jackson- Randall@dowjones.com