FIRE LIT UNDER PGW SALE?

COULD the Philadelphia Gas Works soon be for sale?

In 2010, the city entered into a $200,000 contract with Lazard Freres & Co. LLC for a study of the possibility of selling the city-owned gas utility to a private entity, an idea that has been kicked around by previous mayoral administrations.

Yesterday, at the Greater Philadelphia Chamber of Commerce's annual mayoral luncheon, Mayor Nutter said the analysis would be released next week but he disclosed no details.

"We're very well-aware that municipalities are taking a hard look at the assets they have," said Barry O'Sullivan, director of corporate communication for PGW, adding that the utility was not taking sides in the discussion.

Nutter said the city must "think creatively" about nontax-revenue sources.

The city will be faced with yet another challenging budget year, and the school district already has to deal with cutting $61 million by June.

Nutter praised Council President Darrell Clarke's idea to sell parking lots and other municipal assets.

"As City Council stated, the city of Philadelphia has many assets, and some of them have a greater value to the private sector," Nutter said, adding that selling some of those assets could raise money and allow the city to benefit from private-sector entities with "operational and financial" experience.

"Any proposal will require extensive analysis and due diligence, and I applaud City Council for championing the idea," he said, adding that he would work with City Council on it.