Editor,
Jon Mays’ column regarding over-reach codes brought a smile to my face (“Leading is listening” in the Jan. 7 edition of the Daily Journal).
Editor,
Jon Mays’ column regarding over-reach codes brought a smile to my face (“Leading is listening” in the Jan. 7 edition of the Daily Journal).
Our kid lives in Knoxville, Tennessee. His house is three times the size of ours and he has central air yet his utility bill is half of ours. There was an insert in the last bill stating that the utility company would pay the home owner $100 to help cover the cost of switching their stove from electric to gas. They also have a nice policy that allows the customer to round up their bill to the next dollar. They use those funds to help low-income families purchase more energy efficient appliances.
When I asked the utility company’s CEO how they keep their rates so low, he responded that the key was diversification of where they source their power: electric, gas, solar, wind, nuclear and hydroelectric. He warned against putting all your eggs in one basket. Now before you say that's one of those hick red states, there was an internet rating of how well states are managed. California was 42nd. Tennessee was fourth. So perhaps the overreachers should take off their blinders and widen their view.
Steven Howard
Redwood City
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(2) comments
That you Steve for an enlightening letter.
Steven - thank you for providing this comparison. As a former PG&E mid-manager and later on with energy executive functions at ENRON and the University of California, I can tell you that the only solution for California is to completely overhaul our electric rate structures and the electricity generation mix. There are multiple legacy issues that were started by Governor Moonbeam, some very good but many with unintended consequences. There is massive cross-subsidization among rates applicable to the various customer categories so that cost-of-service has little relevance for those who pay the bill. Don't blame the utilities; they are directed by the CPUC and very strong interest groups, among them most prominently agriculture and lower income residential customers. They also have to contend with the Green Crazies and the duplicitous solar installer industry, all looking for subsidies and favors. In the end, many of us not specifically in either of these pressure groups end up paying the highest electricity rates in the country. As an example, in Southern California, almost one third of residential customers qualify for the CARE program which provides discounts through a self-reported means test. Who do you think is making up the shortfall in revenues from that category? A significant source of base revenue, furnished by industry, left the State because of environmental pressure. And the list goes on. Tennessee must be looking very attractive for those who have the ability and desire to move out of this down-ward spiraling State.
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