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Strategies & Market Trends : Drillbits & Bottlerockets
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To: John Pitera who wrote (7476)4/10/2001 3:34:18 PM
From: MulhollandDrive  Read Replies (1) of 15481
 
>>There was absolutely no domestic energy policy of note during the Clinton administration.<<

John,

That's because it was cheap! The article I provided on the CA energy situation basically stipulates to the fact that as long as energy prices were kept low (artificially in CA) there was no incentive to bring more capacity online. (this apart from the political realities of CA, NIMBY, etc)

The same is true of refineries. Last spring we had serious price instability in the midwest because of the lack of refining capacity which was exacerbated by the MTBE requirements that were implemented last May.

But I'm not really quite sure I understood you. Are you saying there is adequate supply of electricity in CA? I guess that would theoretically be true of any commodity priced HIGH enough.
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