Feature Archives

Put the deregulation genie back in the bottle: RE-REGULATE!

Community leaders and other Californians have been petitioning Gov. Davis to stop using sorely-needed tax dollars for the bailout of utility companies. Instead, the utilities should go bankrupt and be taken over by the state (this would not involve any interruption of electricity to consumers).

Activists are rallying to build a movement that will turn the utility companies into public power utilities, answerable to consumers, not high-paid executives. This campaign attempts to build alliances between consumers and PG&E employees who are being laid off. The organizers see public utilities as a solution to the problems, and point out that forty-seven communities in California have their own municipal utilities, are suffering no shortages of electricity, and are enjoying lower rates.

In New York, 1st Rochdale Cooperative, the country's first urban electricity cooperative, started preparing three years ago for energy deregulation by organizing housing cooperatives in New York City to purchase their own electricity. Now it provides the lowest kilowatt price per hour in the area.

Oregon passed an energy deregulation bill. | Washington state wants to renege on power sales to California

Power supplier Enron Corporation was George Bush's largest campaign contributor. Now we know that this had a direct bearing on Bush's refusal to consider a cap on electricity prices.   Hear former Energy Sec'y Bill Richardson talk about the California energy crisis, Burma and his expectations about Bush's energy policies (Jan. 2001).
Texas manufactures California energy crisis (Feb. 2001)

Work for Public Power in your area. The State of California had the legal right to take over the whole electricity system, from the power plants to the distribution grid to the lines that run into our homes. This would have given us back control over 80% to 85% of the electricity we need and allowed us to dramatically reduce our reliance on out-of-state power. Gov. Davis refused to do this, even though he had said that the deregulated, free-market electricity system is a "colossal and dangerous disaster". Now he is known as "Governor Give-Away".
Ideal solutions   |  Public Power explained

Giving away our money! Davis and the state legislature authorized $400 million to buy electricity at these outrageous prices. Then he wanted to sign long-term contracts (up to ten years!) at prices roughly double those of a year ago. This would cost the state BILLIONS that should go to schools and health care and get nothing in return. He finally started offering to buy the grid, but at twice its value. This was obviously a further bailout, but the energy corporations tried to camouflage this by publicly calling him a Marxist!

Are they lying?   YES! PG&E still produces half its own electricity ... which it sells to itself at the same outrageous prices the out-of-state price gougers do! Hard to believe but true. PG&E owes half its debt to ITSELF!!! Now, power producers are inappropriately citing increased demand to justify building new plants, while the fact is that demand in California is on par with previous years.