03-01-2011, 04:07 AM
As things are currently set up by the PUC the cost of production at PGV has little or nothing to do with the price of electricity to the consumer. Cost of production is cost of production. The electric rates are currently tied by the Public Utilities Commission to the cost of petroleum no matter what the source of the electricity is.
So the place that changes can be made to tie the electrical rates to the cost of production (plus overhead and profit plus taxes and royalties) is at the Public Utilities Commission. We need to decouple petroleum spot prices from alternative energy sources and allow the most efficient to compete.
It is not inappropriate for a commercial venture exploiting a public resource to pay royalties and certainly not inappropriate to pay taxes. I pay taxes, you pay taxes, they pay taxes.
So the place that changes can be made to tie the electrical rates to the cost of production (plus overhead and profit plus taxes and royalties) is at the Public Utilities Commission. We need to decouple petroleum spot prices from alternative energy sources and allow the most efficient to compete.
It is not inappropriate for a commercial venture exploiting a public resource to pay royalties and certainly not inappropriate to pay taxes. I pay taxes, you pay taxes, they pay taxes.
Assume the best and ask questions.
Punaweb moderator
Punaweb moderator