California's Energy Crisis - RushOnline.com

The Democrats gave California price controls... which created the problem.

Conserving alone does not create electricity.

California Power Plan (for dummies, Spence Abraham, and Gray Davis)

1. The US population has grown
2. California is part of the US
3. Electricity doesn't grow on trees, not even redwoods
4. Without power, the movie industry will be the moving industry
5. Someday, we ain't going to sell you any more
6. BUILD YOUR OWN DAM POWER PLANTS

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Democrats' Causing More Energy Problems

An energy crisis waiting to happen
by Don Feder

Wednesday, June 6, 2001

Energy isn't a complicated issue. But since certain people - Democrats, bureaucrats, enviros - have spent decades avoiding a rendezvous with reality, they require a road map. Presented for their edification is an Idiot's Guide to Energy. If you want more energy, build more power plants and refineries, and drill, drill, drill. For 30 years, we've done the opposite. It hasn't worked. The United States consumes more energy than any other nation. In the next two decades, demand is expected to grow by 25 percent.

But we haven't built a major refinery in 25 years. Since 1992, 37 have closed. Those still operating are running at 97 percent capacity. Domestic oil production has declined from 9.6 million barrels a day in 1970 to 5.8 million last year. In the words of the Johnny Mercer song,``Something's gotta give.''

Price caps work well - if your goal is increased consumption and decreased production. Or as Energy Secretary Spencer Abraham put it, price controls ``make a problem a disaster, and a disaster a catastrophe.''

Since 1996, California's political establishment has artificially held down the cost of electricity by capping consumer prices. (Utilities finally were allowed some increases this spring.) As a result, California ranks dead last among the states in power production per capita. Now Gov. Gray Davis wants caps on what utilities pay for energy - which should be a big incentive to companies that generate power. Why settle for a barge mishap when you can have the Titanic?

Conservation won't solve the problem. Consumers can use their air conditioners less in summer and turn thermostats down in winter. But you can't meet the increased energy needs of a population expected to grow by 50 million in the next 20 years by unscrewing light bulbs.

As for alternative energy sources (wind, solar, ethanol), by 2020 they will supply a whopping 3 percent of U.S. electricity. Drilling in the Arctic National Wildlife Refuge isn't environmental rape. It doesn't even constitute an indiscreet glance at Mother Nature. There are at least 11 billion barrels of oil there, the equivalent of 30 years of imports from SaudiArabia. President George Bush is proposing to use a flyspeck of the refuge's 19 million acres. Since oil operations began in Prudhoe Bay, the area's caribou herds have increased fivefold. As the resource would be developed only during the Arctic winter, the environmental impact would be negligible.

Nuclear is a crucial component of our energy mix. Though it has been 20 years since an order was placed for a nuclear power plant, the 103 plants in operation supply 20 percent of our electricity. Without them, in 1999, other forms of power generation would have resulted in carbon dioxide emissions equal to that released by half the nation's cars and light trucks.

In 1999, the cost of generating a kilowatt hour was 3.52 cents for a natural-gas fired plant, 3.24 cents for oil, 2.07 cents for coal and 1.83 cents for nuclear. There's a greater chance of Ralph Nader spontaneously combusting than a nuclear reactor experiencing a meltdown. Dependence on foreign imports makes us vulnerable to embargoes and blackmail. U.S. dependence on foreign oil has increased from 36 percent in the 1970s to 56 percent today. The friendly nation of Iraq has been our fastest growing supplier - at 613,000 barrels a day under the oil for food program. On Monday, Saddam Hussein halted all exports in response to a new sanctions plan of the United Nations. If other oil-exporting states, most in volatile regions, decide to start shutting the tap, we'll be up to our necks in something other than crude.

Energy shortages lead to lost jobs and economic slowdowns. Small- to medium-size businesses, which employ over half the work force, are particularly vulnerable to increased energy costs. Large
corporations, whose work could be done overseas, demand a reliable energy source. Intel says it won't expand operations in California until the state solves its power problems.

 

The Sierra Club may think the move to a smaller America is beautiful. The average worker, consumer and businessman will like it a lot less. Policy-m

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California's Senator Feinstein wants to make the same mistake twice. Again she wants to buy your votes by messing with electric companies... watch for the prices to go even higher!

CALIFORNIA NEEDS NEW POWER PLANTS!

 

For years Californians have conserved more than any other state.

Governor Davis promised new power by July 1st... but, he failed and California will have many more blackouts.

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Trying to place blame for his in-action...the California Governor buys electricity from Canada and many states, including North Carolina at the Texas price.

Last year alone Ohio built 6 power plants and Massachusetts has built 9they have plenty of electricity at low prices. Even with a popluation that has almost doubled, California hasn't opened a power plant in over 10 years.

 

Price caps and no new power plants created the shortage. Federal help will only increase California's problem.

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Electricity of the Rich & Famous

Last night there was a program (Travel Channel, MTV, or something like that) showing viewers around some fabulous California homes. We were following a lady "power broker". She was having a party at a friends home were they could "Smooze" (Boston term). She mentioned her (woman owner) electric bill was $5,000 a month. The house was 57,000 square feet. Gee...am I jealous! I pay 60 to 100 a month for 2,000 square feet. Should I apologize? Nope!

John
Peoples Republic of Massachusetts

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Rolling Blackout Theme Song; (To the theme music from "Rawhide")

Rollin', rollin', rollin', Though the state is golden, Keep them blackouts rollin', statewide.
A little colder weather, And we all freeze together,Wishin' more plants were on the line.
All the things I'm missin', Like lights and television, Are waiting 'til we can pay the price.
Turn 'em on, turn 'em off, Shut 'em down, block 'em out, Turn 'em on, turn 'em off, statewide!
Brown 'em out, black 'em out, Charge 'em more, give 'em less, Let the pols fix the mess, statewide!
Keep movin', movin', movin', Though they're disapprovin', Keep them rates a-movin', statewide.
Don't try to understand 'em, Just raise, charge, and collect 'em.

Soon we'll be livin' high and wide. My heart's calculatin', Nuclear plants will be waitin',
Be waitin' at the end of my ride.

Turn 'em on, turn 'em off, Shut 'em down, block 'em out,Turn 'em on, turn 'em off, statewide!
Brown 'em out, black 'em out,Charge 'em more, give 'em less,Let the pols fix the mess, statewide!
STATEWIDE!!!
FRom:Elle

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California and Electricty

The environmental lobbyists pressured the California legislature to write law that legislated deregulation of the electric power industry. There was also a provision in the law that fixed the price of electricity to the consumer even if it was sold at a loss. This is flunking Economics 101 big time. Now to compound the problem the California Legislature is taking a page from the way the failed communist governments.

Draw this parallel. The commies discredited the operating people who ran the countries power industry. The managers, engineers and operating personnel were jailed or executed after public display trials and replaced by politically correct party cronies who never had any experience running anything. The systems were run into the ground and became part of the reason for the failure of communism world wide.

The present attack on the Bush energy policy borrows a page from the same communist book in an effort to discredit the people with real energy backgrounds in a world that runs on oil

* * *

If it turns out that CA. customers were over charged and are due a refund, don't you think that a refund if any should go to the poorest utility buyers in say AK. TN. NM. etc rather than the richest 10% in CA. I'm sure dicky gep, tommy d. teddy k. even babs boxer etc. would go for that.

Frank - From Texas

 

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California Energy Crisis

I would like to propose a new word, that word is Corpaphobia. It is rooted from observations that Corporations are perceived as evil and managed with the sole purpose to rape the public to make the rich richer and poor poorer. A preposterous phobia triggered by years of subtle indoctrination by the schools, colleges, unions, subversive groups, special interests, and media. When something goes wrong often politicians try to deflect blame toward corporations. California's Power Generators being the current Evil Corporations afflicted from inept Government regulations.

This country maintains a challenging balance between business and a reasonable Government to mitigate excesses. This balance has fostered the most powerful country and beneficial way if life ever known. Corpaphobia is a foolish uninformed view of a reasonable regulatory Government and enterprise.

Without business's commendable abilities to innovate, evolve, and grow the Western World would be in a state of decay. Strong men or fiefdoms would rule in constant conflict with one another. The greater population would be chattel with no hope of gaining a better life. Lacking businesses there would be little organized opposition to unbearably high taxes and unions never would have existed.


* * *

I have worked for PG&E for 15 years and I have lived in CA for over 20. My 401K is worth about 1/3 of its value from 6 months ago, and I have to explain to the kids every night that I still have a job because the company hasn't filed for bankruptcy yet... This really pisses me off.

If you want to REALLY understand what the hell is going on the California Power Crisis - please carefully examine the day to day chain of events that started in about April of 2000. It is a textbook example of failed, arrogant socialist policy that has simply refused to acknowledge any error, and is intent on dragging others down to save it's sorry butt.

It looks like this (in a nutshell). PG&E and SCE both saw the spike coming down the road. They knew the law; they saw the break in the market and they knew the situation was fundamentally unfair - it was counter competitive and BOTH companies were in a VERY BAD - UPSIDE DOWN position. So they tried to send signals and messages, NONE of which were received by the groups responsible to protect the citizens of the state.

PG&E and SCE are and were - in fact - both very savvy companies, politically and financially. After weighing a variety of options - both companies began to aggressively pursue legal remedies for the situation. Having been in the electric business - in California - for a combined total of well over 100 years, the companies realized it was absolutely ecessary to get out of the AB1890 transition / CTC recovery period and be able to remove the rate freeze. By their own accounting, the CTC's were recovered by August and rates should have been allowed to change, which could have allowed a great deal more time to fix the fundamentally flawed experiment.

The Utilities were consistently blocked in this effort by a variety of forces, including Gray Davis, who by this time saw the election looming on the horizon , and determined to screw the people of the state of California by systematically denying all motions of the utilities to stave off the impending crisis. This was a crisis indeed - a political crisis with a very carefully calculated outcome - California elected officials thought... if we can keep the focus on the utilities till after the election - keep denying there is a problem - keep making the Utilities look like Chicken Little - we can keep our jobs and deal with whatever crisis ensues afterward. After all - many of them thought - these companies are always interested in raising rates. We we can play the same game we always play and we will win in the end - after all, we are the Government...

The real problem was and still is denial. The CPUC's relationship with California Utilities is and has been terrible for years. This is a matter of public record. Ecological interests and Rate payer interests, and social objectives - have driven their policies for years. This unfortunate fact caused the CPUC - which is chartered with securing reliable power for the state - to be a spectacular failure. It is amazing to me that NOBODY has noticed that they - the CPUC, the Governor and the State legislature have failed so completely and totally to safeguard their constituencies.

How did they fail? LOOK AT THE TRAIL OF THE UTILITIES AS THEY TRIED TO CORRECT THE PROBLEM. LOOK AT THE DECISIONS made by their OPPOSITION and CONSIDER THE MOTIVES. A few choice quotes from the CPUC decisions, the Governor, the FERC, and Rate payer advocates are all it will take for you to show that any number of actions could have been taken to prevent the current situation from getting this bad - but they were deliberately not taken.

Unfortunately, in my opinion, it is clear that neither the CPUC, the Governor nor the Clinton FERC wanted to hear what the Utilities had to say. This was a failure of the Government to negotiate in good faith, and the public will be hurt by it. This was not the first time that a federal or state agency failed to safeguard the public interest because they had their own agenda, but it may well become one of the most famous. The price for their failure may be the whole deck of cards - first in California and ten in the rest of the country. It will be a Greek tragedy of epic proportions. When the public begins to understand that the Utilities did not cause this crisis - that a proud, arrogant and completely self-absorbed self-important government caused it - maybe they will get pissed off too.

In order to cover up their blame - and to continue to pursue a socialist agenda, these same forces have driven two large, successful companies to the brink of bankruptcy to continue to cover their butts. The basic fact that we have had 8 days of Level 3 emergencies and rolling blackouts should be a HUGE signal that the government didn't do its job. Who the hell took an oath to protect the interests of the state and failed? I'll give you a hint - it wasn't the utilities.

This is the closest I have ever been in my lifetime to a government cover-up - and it right in front of your nose. And get this - they never give up - these same Socialist bozos will now "rescue" the utilities by seizing their remaining assets. Gee - that's a novel idea... Please go back to the newspapers and public decisions of the CPUC and the legislature in 1999 and look badly how they wanted to obtain the Hydra system... Do you think it a coincidence that this "solution" should be offered now???

The systematic screwing that SCE and PG&E are getting from California is only matched in recent years by the justice department's case against Microsoft. And look at that fiasco - billions of dollars lost - and nobody any better off. I think this could be worse...

Pissed

* * *

Calif. Energy crisis

In our last two blackouts here in San Diego County, citizens noted that two of our major power plants had three of its four generators shut down by order of our state's independent power distribution authority. There is another 240-megawatt power plant, called the Silvergate and located in the Logan Heights area of San Diego, that has been completely shutdown for two years. The plant is capable of operating.

It is also documented that Simpra Corporation recently moved millions of dollars out of its San Diego Gas & Electric Corporation to save their financial resources and to make it appear that SDG&E is on the brink of bankruptcy. The California power companies several years ago had our California legislators create a law that will not allow California cities or counties to create their own municipal power companies like Los Angeles has right now. That municipal power authority buys electricity at 4 to 5 cents per kilowatt hours from Bolder Dam and then sells it to San Diego for 35 cents per kilowatt hours. Mix these situations in with the laws created by our environmental wackos, our California politicians' goof on alleged energy deregulation, and the purchasing of energy power on the spot market by our state, and most Californians feel that our energy crisis is manufactured. (I admit that many California voters are very apathetic on this subject, but hopefully the public schools systems have not dumbed them down enough to where they cannot take back their "power.")

Things could get better if Governor Davis (a.k.a. Govenor "blackout" or "gray out" Davis) would show some leadership. But, don't count on it. Only private industry can really turn things around if competition is allow to flourish.

FYI: The Roger Hedgecock radio talk show and irate citizens in San Diego are hosting an all-day protest demonstration today in front of the closed down Silvergate power plant. It will be interesting to see if our left-coast news media will cover it.

Mike

* * *

Solar Power

I have been hearing a lot about solar power again these days, of course mostly from the liberal environmentalists. I have a serious concern about the extensive use of solar power. People like to talk about the unlimited power that we can get from the sun. This "unlimited power" source is exactly one and the same as the power source that powers our environment. What are the long term ramifications of intercepting this power before it reaches the surface of the earth? There has to be an affect on the environment.
I don't understand how environmentalists can propose this as a solution to our energy/environmental problems.

Carlski3

* * *

Just a note for clarification. While it is true that wind power only represents 1% of this nations power, it is not because wind is not a viable wind source. Rather it is because under the democratic leadership of this country during the past several years and their decisions to continue to rely upon fossil fuels to supply our power needs. Had they actually attempted to utilize solar and wind power during their tenure in the white house this situation of California power problems would most likely not be a concern at this time. I greatly enjoy your show and the astounding insights that God has given you in the operations of the governance of this country.

Sincerely, George

* * *

Calif. Energy Price Caps

The request by Gov. Davis to get Pres. Bush to cap wholesale energy prices is merely an attempt to get the rest of us to pay for California's bad judgement. If wholesalers cannot recoup the costs of supplying California's unplanned demand, they must pass the cost on to other customers. Not meeting their demand is not a viable option. This forces the residents of other states to pay for California's stupidity. It is true that this will also force prices higher in the long run, but in the short run we pay.

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Bailout (California Power vs Savings & Loan)

The nice liberal lady from California suggested that the US Taxpayer bail out the California Utilities just as they did the Savings and Loans.

Difference is that the Savings and Loans were insured by the US Government (spelled taxpayer), while the California Utilities are private. The US Taxpayer has no obligation to bail out California's failed liberal experiments in economic manipulation of their private institutions.

I'm getting awfully tired of the liberals expecting the conceratives to bail them out from their social engineering while trying to place the blame on everyone and everything except where it belongs.

Robert / Pasco, Washington

* * *

California energy crisis

"Last year alone Ohio built 6 power plants and Massachusetts has built 9 they have plenty of electricity at low prices. Even with a popluation that has almost doubled, California hasn't opened a power plant in over 10 years." California has built and opened eight power plants over the last ten years.Eleven where approved - three were not constructed because the power companies themselves begged off not wanting to invest when the plants were going to be sold.

As for price caps on electricity to the consumer - That plan was promoted again by the utility companies. The fear was that prices were likely to drop and they wanted to protect their income with what they saw as a floor not a ceiling. Obviously they were wrong! Too bad we can't tell the truth when discussing this issue - Perhaps the fear is that the truth weakens the argument.

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Subject: On open letter to America

America has engaged in some finger wagging lately because California doesn't have enough electricity to meet its needs. The rest of the country (including George W. Bush's energy secretary Spencer Abraham, who wants Californians to suffer through blackouts as justification for drilling for oil in Alaska's Arctic National Wildlife Refuge) seems to be just fine with letting Californians dangle in the breeze without enough power to meet their needs. They laugh at Californians' frivolity. Well, everybody.
Here's how it really is:

California ranks 48th in the nation in power consumed per person.

California grows more than half the nation's fruit, nuts and vegetables. We're keeping them. We need something to eat when the power goes out.

We grow 99 percent or more of the nation's almonds, artichokes, dates, figs, kiwi fruit, olives, persimmons, pistachios, prunes, raisins and walnuts. Hope you won't miss them.

California is the nation's number one dairy state. We're keeping our dairy products.We'll need plenty of fresh ones since our refrigerators can't be relied upon. Got milk?

We Californians are gonna keep all our high-tech software in state. Silicon Valley is ours, after all.

Without enough electricity, which you're apparently keeping for yourselves, we just plain don't have enough software to spare.

We're keeping all our airplanes. California builds a good percentage of the commercial airliners available to fly you people to whereyou want to go. When yours wear out, you'd better hope Boeing's Washington plant can keep you supplied. There isn't enough electricity here to allowus to export any more planes than we need ourselves.

And while we're at it, we're keeping all our high-tech aerospace stuff, too, like the sophisticated weapons systems that let you sleep at night, not worried you might wake up under the rule of some foreign kook.

Oh, yeah, and if you want to make a long-distance call, remember where the satellite components and tracking systems come from. Maybe you could get back in the habit of writing letters.

Want to see a blockbuster movie this weekend? Come to California. We make them here. Since we'll now have to make them with our own electricity, we're keeping them. Even if we shot them somewhere else, the labs, printing facilities, editing facilities, and sound facilities are all here.

Want some nice domestic wine? We produce over 17 million gallons per year. We'll need all of it to drown our sorrows when we think about the fact that no matter how many California products we export to make the rest of America's lives better, America can't see its way clear to help us out with a little electricity. You can no longer have any of our wine.

You all complain that we don't build enough power plants. Well, you don't grow enough food, write enough software, make enough movies, build enough airplanes and defense systems or make enough wine. This is your last warning, America. Lighten (us) up before it's too late.

Love, The Californians - April 4, 2001

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