AG, city sue Peoples Energy over alleged natural gas scheme

[Judi Lynn]

March 22, 2005

AG, city sue Peoples Energy over alleged natural gas scheme


CHICAGO City and state officials today filed lawsuits against Peoples Energy, claiming the company bilked customers of more than 100 (m) million dollars through a system of kickbacks.

The separate lawsuits were filed in Cook County Circuit Court by the city of Chicago and Attorney General Lisa Madigan.

Officials claim Peoples Energy partnered with Enron Corporation to trade and profit from natural gas intended to heat homes of Peoples Gas' customers.

The attorney general's complaint says the companies sold Peoples' gas reserves during winter months, when prices are highest, and replenished supplies at low prices during warm months.
(snip/...)

http://www.kwqc.com/Global/story.asp?S=3107707

[Trillo]

1. I've often wondered why consumers can't buy a monthly use contract of

'whatever privatized' energy they use, whether gas or electricity, when prices are seasonally low, for their later consumption when otherwise prices would be high.

It seems the privatized market only allows the big guys to hedge their trading, consumers aren't allowed to purchase forward use contracts! It seems consumers are only allowed to pay prevailing market rate at time of use.

Hypocrisy in capitalism.

[cosmicdot]

2. Enron surfaces again

"Officials claim Peoples Energy partnered with Enron Corporation ..."