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Pastimes : The California Energy Crisis - Information & Forum -- Ignore unavailable to you. Want to Upgrade?

To: Daniel G. DeBusschere who wrote (793)	8/2/2001 2:32:42 PM
From: Sam	Read Replies (1) \| Respond to of 1715

<<Guys, the utilities are on their ass and I am the only one that can pay you anything for your shit, so if you quote me a price that is over double what I paid last year, you can keep your crap and I will consider grabbing your plants for prices based on last year's valuations. ************** What do you think would have happened? Noone really knows but it was stupid for Davis to not try it first.I think he figured it would help his campaign fund more if he was nice to "pirates". What do you think? >> Well, it's a good line for sure, but my guess is they would have called his bluff. The pressure he was under to alleviate the blackouts was tremendous. The judge in this case--Wagner--is allegedly pretty independent, though I don't really know that, I have just read it. If true, and if he finds enough industry playing around to justify anywhere close to the $8-9b refund that CA is requesting, I would expect these long term contracts to be declared null and void sometime in the not too distant future. I don't think it will help his reelection possibilities to be "nice" to the pirates. It may clinch his reelection if CA comes out anywhere close to whole after this without rolling blackouts and if rates can be rolled back a little. But first things first, get the refund issue dealt with.

To: Daniel G. DeBusschere who wrote (793)	8/3/2001 12:26:40 AM
From: DavesM	Respond to of 1715

IMHO Gov. Davis has played his hand as well as it could be played (he was dealt nothing and somehow came up with a full house). I now realize that he was aware of the problem in CA relatively early on, and was actually trying to assist very early in the crisis. O.K. this summer he is fortunate that it is not as hot as last summer, but IMHO he has done a hell of a job. Yes, I've changed my mind about him. re:"...if you quote me a price that is over double what I paid last year, you can keep your crap and I will consider grabbing your plants for prices based on last year's valuations... What would have probably happened is that the plant operators would have just shut down. For instance: Reliant claims that their net revenues to the Cal ISO and PX were $570M, they claim that fuel costs, emissions fees, Operation and Maintenance costs were $413M (average cost to the state? $185 per MWhr from Oct00 to May01). Remember a number of qfs shut down earlier this year, because of high fuel prices (that and they hadn't been paid in 3 months).