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Politics : High Tolerance Plasticity -- Ignore unavailable to you. Want to Upgrade?


To: Zeuspaul who wrote (3752)4/25/2001 10:45:19 AM
From: The Ox  Respond to of 23153
 
If a power producer charges $30 per 1000 KWH to California and charges $10 per 1000 KWH to another state
and the power producers cost is $15 per 1000 KWH....who is subsidizing who?


If you can't get credit from normal sources, I know there are plenty of companies who's business it is to loan out money to customers with bad or no credit at interest rates of 60% per year (or more). I am sure that the producer can't charge this type of interest to balance their risk due to regulations and restrictions. So how do they compensate for the risk they are taking by selling product to a utility that's on the verge of bankruptcy? They charge more for their product. Plain and simple. If you don't like the price you are paying, go to another vendor. That's what most businesses would do.