On Fri, 27 Jun 2003 12:11:00 +0000 (UTC)
(Jonathan Kamens) wrote:

Tim writes:
Gas prices always rise during heating season, while electrical is
regulated by the government.

Be careful about generalized statements like this; this
particular one is not universally true. In Massachusetts, for
example, both electricity and natural gas rates are regulated
by the government, in the sense that the utilities need to get
permission from the regulatory authorities before raising
rates, but the authorities rarely reject a rate increase when
it is legitimately due to increased fossil-fuel costs.

I think that regulation enters into the picture when the gas crosses
state lines. Not suprisingly, gas is typically more expensive in gas
producing states.

On Fri, 27 Jun 2003 13:58:34 +0000 (UTC)
(Jonathan Kamens) wrote:
snip
I think that regulation enters into the picture when the gas crosses
state lines.

Why do you say that? Most regulation of utility pricing is
at the state level, not the Federal level. State regulatory
authorities don't care whether the gas/electricity cross
state lines.

Google on FERC (Federal Energy Regulatory Commission) for articles like
this:


"Recent analyses of the natural gas market, 1 including those of the
Department of Energy (DOE), the Federal Energy Regulatory Commission
(FERC), 2 and the State of Louisiana, 3 conclude that there is a serious
problem of regional gas supply imbalance in which most intrastate
pipelines are at a disadvantage in competing with most interstate
pipelines for new gas supplies. In addition to this supply imbalance,
there is a related problem of price disparity. Most intrastate pipelines
must pay prices for old gas supplies substantially higher than the
prices interstate pipelines must pay for such supplies. Analysts predict
that the twin problems of supply imbalance and price disparity between
the interstate and intrastate markets will grow worse over the next five
to ten years unless Congress passes legislation to avoid this result.
Louisiana is particularly disadvantaged by the present situation because
of its heavy reliance on intrastate suppliers of natural gas."

http://www.dnr.state.la.us/SEC/EXECD.../legal/001.htm

Gas prices always rise during heating season, while electrical is
regulated by the government. But i would still go with gas because it is
just better for drying clothes, IMHO.

BrianEWilliams wrote:

We are buying a new construction townhouse. Installing a gas line to
the laundry area will be $100. A gas dryer cost $53 more than the
same model in electric. I have seen headlines saying gas prices are
going up. My question is this. Does anyone have a opinion on how
long it will take me to save back my extra $153 in upfront costs for
the gas dryer? Obviously this depends on the relative price of gas
vs. electricity in the future which no one can predict, but opinions
are welcome.

Also, are there any maintenance issues with gas vs. electric dryers?
This is the gas model we are thinking of getting:

http://tinyurl.com/f0wi

Tim writes:
Gas prices always rise during heating season, while electrical is
regulated by the government.

Be careful about generalized statements like this; this
particular one is not universally true. In Massachusetts, for
example, both electricity and natural gas rates are regulated
by the government, in the sense that the utilities need to get
permission from the regulatory authorities before raising
rates, but the authorities rarely reject a rate increase when
it is legitimately due to increased fossil-fuel costs.

Albert Wagner writes:
On Fri, 27 Jun 2003 12:11:00 +0000 (UTC)
(Jonathan Kamens) wrote:
Be careful about generalized statements like this; this
particular one is not universally true. In Massachusetts, for
example, both electricity and natural gas rates are regulated
by the government, in the sense that the utilities need to get
permission from the regulatory authorities before raising
rates, but the authorities rarely reject a rate increase when
it is legitimately due to increased fossil-fuel costs.

I think that regulation enters into the picture when the gas crosses
state lines.

Why do you say that? Most regulation of utility pricing is
at the state level, not the Federal level. State regulatory
authorities don't care whether the gas/electricity cross
state lines.

On Fri, 27 Jun 2003 04:30:18 -0500, someone wrote:


"Recent analyses of the natural gas market, 1 including those of the
Department of Energy (DOE), the Federal Energy Regulatory Commission
(FERC), 2 and the State of Louisiana, 3 conclude that there is a serious
problem of regional gas supply imbalance in which most intrastate
pipelines are at a disadvantage in competing with most interstate
pipelines for new gas supplies. In addition to this supply imbalance,
there is a related problem of price disparity. Most intrastate pipelines
must pay prices for old gas supplies substantially higher than the
prices interstate pipelines must pay for such supplies. Analysts predict
that the twin problems of supply imbalance and price disparity between
the interstate and intrastate markets will grow worse over the next five
to ten years unless Congress passes legislation to avoid this result.
Louisiana is particularly disadvantaged by the present situation because
of its heavy reliance on intrastate suppliers of natural gas."

Read it, carefully. Looks like this:

1) There is an price disparity.

2) There is *not* a regulation to stop this, the author is saying that
a regulation is needed to prevent this.

3) It is not clear from the above excerpt alone, that the *reason* for
the disparity is a present reg, rather than old contracts.

Sure, there is an FERC, and it has many roles, and some of its roles
have changed over the years, particularly as to now reduced regulation
of natural gas. Its not my field. Maybe you have info, but tell us
more. The above quote only tells us there is a disparity in price and
that some pipelines are at a competitive disadvantage. But why?

-v.