🚀 go-pugleaf

Jeffrey Siegal (jbs@quiotix.com) wrote:
: Merlin Dorfman wrote:
: >      The deregulation bill, as passed, was exactly what the
: > utilities wanted and lobbied heavily for

: I don't believe that.  First of all, the utilities were originally
: opposed to deregulation, and joined the negotiations only when they
: realized that it was going to happen.  Second, there are plenty of
: provisions I can't believe were "exactly what the utilities wanted" such
: as being forced to sell off their power plants and being prohibited from
: buying long-term power contracts.  They probably did like the 10%
: reduction, because they expected wholesale prices to drop even more than
: that, and the fixed retail price meant a lot of extra profit for them. 
: That said, if they had gotten "exactly what they wanted," it would
: probably have been just a price floor and not a fixed price.

     I haven't got the cites in front of me, but my recollection
is that the idea of deregulation originated with the utilities,
who saw the chance to get out from under a system where the price
they could charge, and the profits they could make, were limited
by a state commission.  
     If not the utilities, whose idea was it? (And don't tell me
"Steve Peace.")  

: No, the only logical conclusion is that the deregulation law was a
: compromise.  There was a lot in it for the utilities to like, but not
: everything.

     I'm sure there were some compromises, but the idea and the
general form and most of the details were as the utilities
wanted.