Djjd, I would like to add another group of folks to your list that deserve some blame as well. Not that you really need many more, but I think one group of folks should get the finger pointed at them. I am talking about us. We are all partly responsible for the power shortfalls occurring in Ca. In our zeal to deregulate the electric utility industry, we overlooked the fact that if utilities are not lawfully mandated to ensure that sufficient power does and will exist it may not. Simply believing that if the demand is there, the desire of utilities to make money will ensure that supply will match it is flawed. Utilities found that more money can be made, with lower capital investment and greater profit margins simply by operating distribution and supply, rather than generation. Quite a few smaller companies simply wish to be in the “wires” business, selling or closing generating facilities while they can still recoup their capital investments through the present regulatory structure by passing it along to customers. A lot of companies simply don’t wish to take the risk that the fluctuating natural gas and oil prices may have on their return, and simply aren’t taking the plunge into huge capital investments that base load generating facilities require. Because of the political climate, companies are not building large nuclear facilities, and probably won’t for quite a few years to come. The deregulation of the utility industry hasn’t struck the country as hard as it has in Ca., but IMHO it’s coming.
I said that we, us, Joe and Jane Blow, should partly accept the responsibility because I believe we didn’t do our homework when we allowed our elected officials to pass laws permitting deregulation. Many people surely believed the hype that it would result in lower electric rates. When? In 10 years? 20? Doesn’t do many people in Ca. and the pacific northwest much good now. Did deregulation of the airline industry in the United States result in lower fares and safer travel? My opinion would be no to both. Anti-trust laws did in Ma Bell, but has phone service improved; have rates lowered; can you get anyone to come to your house to fix the service your dog chewed through without paying a premium for it? Stand by for Microsoft. It will truly surprise me if the breakup promotes competition, improves the computer industry, or makes anything cheaper. Don’t get me wrong. I love capitalistic free enterprise. I just don’t believe that we as consumers should chew on whatever our elected officials serve up. Climbing down off the soap box.
My opinion, for what it’s worth.
