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California: Power costs drop, but bills don't
The Orange County Register ^ | July 1, 2002 | The Associated Press

Posted on 07/01/2002 10:02:28 AM PDT by Ernest_at_the_Beach

Edited on 04/14/2004 10:05:14 PM PDT by Jim Robinson. [history]

Last year's rate hikes are still in effect, although wholesale prices are lower.

LOS ANGELES -- Blackouts have ended and wholesale power costs have plummeted, but California's energy crisis continues to haunt consumers.

Californians aren't paying any less for electricity even though wholesale power costs one-tenth of what it did when the state Public Utilities Commission approved a 30 percent rate hike 15 months ago.


(Excerpt) Read more at ocregister.com ...


TOPICS: Business/Economy; Culture/Society; Front Page News; Government; News/Current Events; Politics/Elections; US: California
KEYWORDS: calgov2002; california; calpowercrisis; davis; electricbills; electricrates; government; powercosts; utilities
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To: Flying Circus
The debts are a direct result of consumers paying below market rates while the companies selling the power were forced to purchase at market rate.

And the consumer wasn't forced to pay that rate?

You're saying they should have had the vision and foresight to pony up more than they were being billed to avoid the power companies' debt load now?

21 posted on 07/01/2002 11:41:40 AM PDT by Bloody Sam Roberts
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To: Angelique
That's alright!

John Robinson was turning some new database function on last night and I just thought there was a system problem.

It sounded like you were on thread and had a conversation going and the system put it on this thread by mistake!
Looks like I was incorrect in that!

22 posted on 07/01/2002 11:59:07 AM PDT by Ernest_at_the_Beach
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To: Bloody Sam Roberts
By force of law the power companies are limited in how much they can charge the end consumer for electricity, there is no such limit for how much they have to pay for electricity. The imbalance caused by these (unjust and improper) laws created the debts.

I don't believe in paying a utility one penny more than I am billed. However it is inevitable that we will pay for what get one way or another and it is always more expensive to pay later than to pay now. The price controls created this mess, get them out of the way and let the market do its job!

23 posted on 07/01/2002 12:11:39 PM PDT by Flying Circus
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To: Flying Circus
The price controls created this mess, get them out of the way and let the market do its job!

Makes sense to me. I'll get right on it.     =;^)

24 posted on 07/01/2002 12:19:24 PM PDT by Bloody Sam Roberts
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To: Flying Circus
Now is the time to pay the piper.

Which Utility do you work for? Enron?

25 posted on 07/01/2002 1:13:57 PM PDT by itsahoot
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To: Flying Circus
The imbalance caused by these (unjust and improper) laws
created the debts.

Do you really believe this stuff, or are you just putting us on?

26 posted on 07/01/2002 1:16:07 PM PDT by itsahoot
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To: Bloody Sam Roberts
And the consumer wasn't forced to pay that rate?

That's right - consumer rates were capped, regardless of the market rate for wholesale power. And where have you been the last year that you didn't know that?

You're saying they should have had the vision and foresight to pony up more than they were being billed to avoid the power companies' debt load now?

Nobody is going to deliver power to them unless they pay those debts. Power companies and natural gas producers will freeze out California until they get paid - that's just business. And, now the bankruptcy courts are involved, they will insure that they get paid one way or another.

27 posted on 07/01/2002 1:16:14 PM PDT by balrog666
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To: Angelique
Knock it off. You have mail.
28 posted on 07/01/2002 2:03:25 PM PDT by Admin Moderator
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To: Ernest_at_the_Beach
No, why do you ask?
29 posted on 07/01/2002 2:27:24 PM PDT by John Robinson
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To: itsahoot
Do you really believe you have the right to force someone to sell you something for less than they can provide it or are you just putting us on? We're talking simple economics.

Your attempts to impute my motives are misplaced. I am a hardware engineer in the computer business. Why don't you try to think and use logic instead?

30 posted on 07/01/2002 3:02:49 PM PDT by Flying Circus
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To: balrog666
'Flying Circus' said; "The debts are a direct result of consumers paying below market rates while the companies selling the power were forced to purchase at market rate."

I replied, "And the consumer wasn't forced to pay that rate?"

Meaning, 'consumers paying below market rates' is immaterial. That was my point. They are forced to pay that rate. That's what is on their bill.
Do you think they should have paid more than what was on their bill?
Of course not. But now it seems that they are being hosed for not doing so. A total no-win situation.

31 posted on 07/01/2002 3:23:10 PM PDT by Bloody Sam Roberts
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To: Bloody Sam Roberts
Do you think they should have paid more than what was on their bill? Of course not. But now it seems that they are being hosed for not doing so. A total no-win situation.

I agree that it's a no-win situation. I think we can lay the blame squarely on Greyout Davis and the California Assembly-of-Idiots.

With the bankrupcy court in play, the power companies cannot be forced to to spend themselves into the ground, so the users are going to have to pay. Davis could fix things now so that the right people pay, but he's still trying to hide from the whole mess until after the election.

32 posted on 07/01/2002 3:32:40 PM PDT by balrog666
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To: Admin Moderator
If that is what you want, I do not understand. The man said that the proceeds of the cookbook was going to FR. That is very dishonest to use the site like this.
33 posted on 07/01/2002 3:46:01 PM PDT by Angelique
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To: Ernest_at_the_Beach
I thought there was a thread for these bizarre posts now?
34 posted on 07/01/2002 3:59:11 PM PDT by balrog666
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To: Bloody Sam Roberts
"And how, exactly, are consumers to blame for these debts that they should be saddled with repaying them?"

Because, as voters, they elected Gray Davis as governor.

There is a direct "cause and effect" involved here...

35 posted on 07/01/2002 6:33:23 PM PDT by okie01
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