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Pastimes : The California Energy Crisis - Information & Forum
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To: portage who wrote (503)6/14/2001 8:59:39 AM
From: Hawkmoon  Read Replies (2) of 1715
 
Portage... you can provide statistics, but we know statistics can be misleading. You can claim that these plants have been shut down more for more hours this year than in the past, but what if those plants were kept operating past their normal maintenance shut down period, deferring that maintenance to a later period, in order to provide more power to the state?

Wouldn't that reduce the total quantity of hours of downtime from the past 3 years, thus skewing your average?

And if it came to the point that the plant manager could no longer defer a maintenance shutdown, and the fact that not performing that previous maintenance may have caused more damage, could that not explain why so many plants are being taken off line??

So you can rattle off the stats, but it's important to look at the reality behind the numbers.

And the energy sector is no more "fixed" than is the computer operating system market (aka: MSFT).

But if you want to solve the price fixing problem, then encourage more competition and open up generation plant construction. Either that, or reduce demand so these guys are left in the position where they have no one to sell their excess power to.

Or maybe, rather than foolishly buying power on the expensive spot market, enter into long-term contracts for power which are beneficial to BOTH PARTIES. The buyer knows he's purchased at a fixed price, and the seller knows that he has a guaranteed buyer and the capital to lock in long-contracts for his fuel (natural gas.. etc) so he's not caught in a squeeze.

Hawk
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