Mainebiz

w w w. m a i n e b i z . b i z 13 Ja n ua r y 1 2 , 2 0 1 5 regulation [and] also in terms of the relationships among the players in the market and the way in which the standard electricity rate offer is set up. One of the things that restructuring achieved quite well is shifting a great deal of the risk of investment away from customers onto the private side … e infra- structure that's been put in place, the market interest in the kinds of retail products that restructuring encourages — such as real-time pricing, smart meters and things of that nature — are some of the benefits we've seen. On balance, then, I think it's achieved some of the results that were envisioned. But, I also think, it needs more work to achieve all of them. At the time restructuring was implemented, Maine's electricity prices had managed to wander some distance above the national average. And the goal was to bring them back down to the national average. I think, were it not for the natural gas pipeline constraint into New England, we would be very close to that goal. In fact, we got very close to it in 2012 and then, for winter pricing reasons, we've departed from it again. MB: Would you agree that there's some confu- sion in Maine about why the price of natural gas is so much higher here than it would be, say, in Pennsylvania? Why is that? TW: If you're buying natural gas in Maine, it's a complicated question. For example, if you are buy- ing from a Maine gas utility that has a long-term pipeline contract, their customers don't see the 'basis differential' as much of a problem. You see it much VALUATIONS CUSTOM-FITTED Gain Insight with Valuation and Forensic Experts The issues are complicated. You need an expert who can bring clarity. Leveraging Northern New England's largest accounting and consulting fi rm. Dependable valuations. Defendable results. SHAREHOLDER DISPUTES ECONOMIC DAMAGES LOST PROFITS BUSINESS APPRAISAL BERRYDUNN.COM C o n t i n u e d o n f o l l oW i n g pa g e » Highlights of outgoing Chairman tom welch's career at Maine public Utilities Commission Restructuring of Maine's electric utilities: Prior to March 1, 2000, Maine's electric utilities were responsible for generating as well as delivering power. Since then, CMP and the other transmis- sion and distribution utilities remain fully regu- lated by the PUC, while the generation or supply portion is subject to competition — with the intent of encouraging lower overall electricity rates. Maine School-Library Network: Made sure everybody in Maine has free access to high- speed Internet — not necessarily in their homes, but at least through local libraries and schools. Took Maine from being last to being first in nation in terms of universal access and became the model for federal legislation supported by former U.S. Sen. Olympia Snowe. Natural gas cast iron replacement program: Approved by PUC in 2010, the agreement with Unitil Corp. accelerates the replacement of nearly 100 miles of cast iron natural gas pipes — some almost 100 years old — in the company's Portland-Westbrook service area. The program, the largest of its kind in the Northeast, improves safety, creates more reliable service for commer- cial and industrial users and spreads out the costs to avoid rate shock to Unitil customers.

• Cover