Replies

Implementation of the plan would be halted if California Independent System Operator Corp. and the state's three largest investor-owned utilities fail to submit a regional transmission organization plan by June 1. The mitigation plan also contains a sunset provision to put California "on notice that they need to work right now" to improve supply and delivery, said Chairman Curt Hebert Jr.

However, to protect other Western states, generators outside California would not be required to bid into California when the WSCC reserve margin drops to 7%.

Wow, Double Wow. I wonder if the standard press realizes that FERC has put put California on notice and told the Gov and Legislature to make some changes by summer or nobody is going to bail you out. If the Gov and Legislature don't get it, I know for sure that the Bond rating agencies will tumble to the fact that the revenue streams in support of any bonds may get diverted to power purchases or blackouts and harm to an economic recovery.

So the Gov and Legislature must do certain things they don't want to do prior to June 1 or else. Lets see they need to pass a budget prior to the end of June. They need to issue power bond and get all the contracts lined up by May at the absolute latest if they want cash in the general fund prior to the end of this fiscal year. They are going to have to eat a lot of crow between now and June!

Ouch! FERC must be really upset!