A crisis in providing natural gas at adequate levels and affordable prices nationwide has spurred many energy providers to consider radical measures.

Some look to new kinds of power, such as wind or solar.

Some consider upgrading now existing plants, such as nuclear and coal-burning plants.

What is clear, however, is that as natural gas prices quadruple, as is the case this month, electricity generated from the pricey commodity also will rise.

Another given is that electricity providers more and more are seeking natural gas because it burns clean and makes easier their compliance with environmental regulations.

Entergy, the giant electricity provider serving parts of Mississippi, Louisiana, Arkansas and Texas, broke ground in September 2000 for a new 300-megawatt peaking natural gas-fired plant in Vicksburg.

The Warren Power Project is expected to be in operation in the summer of this year.

&uot;We’re always trying to find a balance,&uot; said Morgan Stewart, an Entergy spokesman.

&uot;We’ve evaluated that it’s best for our customers to buy a mix of fuels.&uot;

Deregulate electricity?

Some energy analysts believe that deregulation of electricity would help to alleviate painful crises such as the current one.

A number of states already have deregulated electricity, including California, where the on-going highly publicized problems of providing energy to users has grown more desperate in recent days.

For three years, the Mississippi Public Service Commission studied the deregulation question.

In May 2000, the commission announced that their findings showed deregulation of electricity would not be in the best interest of the average consumer, Southern District Commissioner Michael Callahan said.

&uot;The hearings showed that industrial users might benefit but the average users might see higher prices,&uot; he said.

&uot;Mississippi could deregulate tomorrow,&uot; he said. &uot;Because of the work of the commission, everything is in place to do that; but we don’t think it’s the best for the state.&uot;

Despite high monthly bills, the price per kilowatt of electricity is at the lowest level it ever has been, Callahan said.

&uot;Mississippi ranks 11th or 12th best in electricity rates in the entire nation,&uot; he said.

People simply consume more electricity.

In a deregulation of wholesale electricity by the Federal Energy Regulatory Commission about 10 years ago, energy companies began to turn over the building of new generators to for-profit companies, Callahan said.

&uot;This is what happened in California,&uot; he said. &uot;Capitalism took over.&uot;

The companies marketing electricity had no ceiling. &uot;If they wanted to make a 25 percent profit, that’s what they did.&uot;

Utilities such as Mississippi Valley Gas Company and Entergy are under ceilings.

&uot;They try to make a profit but can’t go over a certain ceiling and have to return money to the customers if they do,&uot; Callahan said.

However, utilities do not profit from the higher prices now facing consumers, Mississippi Valley Gas spokesman Phil Hardwick said.

&uot;Utilities charge only a delivery fee. The price of the gas is passed on to the customer.&uot;

Can we strike a balance?

Hardwick sees political policy as part of the problem today. &uot;We’re seeing the results of what happens when you have no energy policy,&uot; he said.

&uot;In California you’re seeing what happens when you have 14 years of building no new generators.&uot;

An energy policy must enforce a balance between the environment and the consumer needs, he said.

Callahan agreed. &uot;I do believe you have to balance environmental concerns with energy production, but I don’t think we’ve struck a good balance yet.&uot;

Kelle Barfield, director of generation communications at Entergy, said utilities are trying to abide by environmental and safety standards and are looking for ways to balance those standards with producing more energy.

&uot;It’s not out of the question that there may be another generation of nuclear plants,&uot; she said. &uot;And Entergy is looking for new ways to generate more electricity at the already existing nuclear plants.&uot;

In fact, the Mississippi Public Service Commission gave the company approval to build another cooling tower at Grand Gulf.

&uot;Increasing energy capacity there will require that new construction, which will begin in the coming months,&uot; Barfield said.

Anticipated growth in energy demands is huge, she said. The company wants to be prepared.

Entergy’s policy in recent years has been to promote deregulation of electricity.

Legislation in Arkansas and Texas has begun the process of deregulation in those Entergy markets.

Callahan said, however, that Arkansas officials have begun to question whether deregulation needs further study.

&uot;They’re pulling back,&uot; he said.

&uot;And I think California would like to put the genie back in the bottle. But I’m not sure they will be able to do that.&uot;

Entergy’s policy has touted the benefits to customers who have a choice of electricity provider.

Barfield said Entergy looks at electricity at much more than just a product.

&uot;It’s life sustaining,&uot; she said.

&uot;Making it work is a joint effort of consumers and providers.&uot;

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Coming Tuesday

— Conservation tips can save money.

Coming Wednesday

— New energy sources may be key.