Article View: la.general
Article #2867Re: Sell the LA DWP
From: Robert S. Helfman
Date: Mon, 21 Oct 1996 00:00
Date: Mon, 21 Oct 1996 00:00
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In article <MHigby.3647.07A69618@Primenet.com> MHigby@Primenet.com (Michael Higby) writes: > >The problem with the DWP is that it is a government agency. The City should >not be in such a business. The DWP is not run competitively and union rules >block its profitibality. That comment is, to put it mildly, a crock. The L.A. Dept of Water and Power retails its power for approximately 15% less than Southern California Edison. Despite this, the DWP is a profit center for the city. BTW, the city of Riverside (where I lived from 1964-1979) also has a municipal water and power system. Their residential rates were also lower than the corresponding Edison services. (I know -- I lived in an unincorporated area on the edge of town and had Edison service. I then moved inside the city limits and was then served by Riverside muni.) The per-kilowatt-hour rate was about 20% higher under Edison than it was under the Riverside muni system. And the amazing part was that Riverside bought power wholesale from Edison at that time. (They subsequently bought in to the Four Corners plant, in which they are a substantial partner.) Edison power employees are also union members, and they have hungry stockholders that have to be satisfied. They have no competitive edge over DWP. > In the same case, the city should probably sell the >airport and the harbor too.
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X-Google-Language: ENGLISH,ASCII-7-bit X-Google-Thread: 106ed4,3b8d3b89f4d07ca X-Google-Attributes: gid106ed4,public X-Google-Thread: 107d03,3b8d3b89f4d07ca X-Google-Attributes: gid107d03,public From: helfman@aerospace.aero.org (Robert S. Helfman) Subject: Re: Sell the LA DWP Date: 1996/10/21 Message-ID: <54gr5b$37n@news.aero.org> X-Deja-AN: 191068058 references: <MHigby.3641.002B00D0@Primenet.com> <lclee.567.001F4DAE@primenet.com> <MHigby.3647.07A69618@Primenet.com> organization: The Aerospace Corporation newsgroups: la.general,ca.general