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Forums » Utilities Weigh in on BPL » How about we fix the energy situtation...
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calvoiper

join:2003-03-31
Belvedere Tiburon, CA

Re: How about we fix the energy situtation...

In reality, the power companies are desperate for something else to sell, hopefully something with unregulated profits.

Unlike the telcos, power companies only have one product to sell: a kilowatt of power. Over the years, they've tried to add "demand side management" services, but really, how smart is it to have your key new product be a way for customers to use less of your base product?

Simply put, the power companies are chafing under (effective) regulation, want to see something like dot-com profits, and are willing to try darn near anything.

The result: A wild willingness to take risks. The management philosophy of power companies today is like savings and loans prior to their deregulation. We've already seen in California what this mad rush can lead to (witness PG&E bankruptcy) and we'll see more wacky risks.

calvoiper
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oliphant
I Have 8 Boobies
Premium
join:2004-11-26
Corona, CA

Re: How about we fix the energy situtation...

WHen I see stupid crap likeSouthern California Edison advertising a product for which there are no competitors...including television and even paying to have Anaheim Stadium called Edison Field I'm reluctant to let them do anything else.

When they pull their heads out of their ass and quit wasting money then cryin' to the PUC for rate increases...I'd be willing to give them a shot with BPL (IF the HAM issues are addressed).
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fireflier
Coffee. . .Need Coffee
Premium
join:2001-05-25
Limbo
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said by calvoiper See Profile:

Over the years, they've tried to add "demand side management" services, but really, how smart is it to have your key new product be a way for customers to use less of your base product?
It's very smart when you consider new generation facilities cost billions of dollars in initial investment, plus significant O&M costs over the life of the plant. Factor in the transmission system additions, upgrades, and modifications that must be made to accommodate the new generation and you're looking at a considerable additional sum of money.

If the system can be tweaked to offset additional generation, it can save a lot of money and keeps rates from being raised simply to pay for additional generation that may not be necessary if other means of conservation can be used.
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calvoiper

join:2003-03-31
Belvedere Tiburon, CA

Re: How about we fix the energy situtation...

I wasn't trying to say that DSM isn't a good idea--but rather that it alone is hardly a "new product" that grows your business....

calvoiper
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VoIP--the death knell of remaining voice monopolies!
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