|
|
Enron Mail |
Following is an excerpt from a LA Times article illustrating a different,
more negative point of view concerning deregulation compared to earlier articles I had sent. The whole article is attached at the bottom. Overconfident lawmakers even inserted as Section 330A of the Public Utilities Code: "It is the intent of the Legislature that a cumulative rate reduction of at least 20% be achieved not later than April 1, 2002, for residential and small commercial customers from the rates in effect on June 10, 1996." Fat chance! And under deregulation, with production of electricity in independent hands, separated from the major utilities, there is a division of responsibility: When things go wrong, it is nearly impossible to assess whom to blame. So where do we go from here? Already, while ostensibly resisting re-regulation, utility officials are suggesting they need help. This is not surprising. Deregulation is one of the most oversold concepts in American life. Without a continued government hand, things frequently run off the tracks. When John E. Bryson, chief of Edison, came last week to The Times to meet with reporters and editorial writers, he expressed mystification that market prices have been so high, even at times when demand is relatively low. He called for a federal investigation of the price levels. In the meantime, he and aides suggested, some price ceilings might be temporarily in order. I suspect they might not be all that temporary. If after joining in a $40-million utilities campaign to defeat a quixotic ballot initiative that would have stifled deregulation, Edison leaders are now proposing so much regulation, it shows not only a commendable candor but also how grim they realize the immediate prospects are.
|