skycat 0 #1 March 26, 2003 http://story.news.yahoo.com/news?tmpl=story&u=/ap/20030326/ap_on_go_ca_st_pe/california_power_ferc *** WASHINGTON - Federal energy regulators said Wednesday that their investigation found widespread manipulation of natural gas and electricity prices and supplies in California. Pat Wood, chairman of the Federal Energy Regulatory Commission (news - web sites), said that as a result of the manipulation California would receive more than the $1.8 billion in refunds recommended by a FERC judge in December. The exact amount is to be determined in the coming months. The FERC singled out seven subsidiaries of bankrupt Enron Corp. and five other companies for taking advantage of a dysfunctional market and reaping millions of dollars in unjust profits. "The price gouging abounded," Commissioner William Massey said. He said he regretted that FERC did not intervene earlier to police the newly deregulated power market in California. The agency is considering placing limits on the profits of four marketers of wholesale power and banning eight gas companies from selling natural gas in California, Wood says. The investigation also found a close link between natural gas and electricity prices. Gas is the fuel at many power plants. After a 13-month investigation, FERC concluded "that many trading strategies employed by Enron and other companies violated the anti-gaming provisions" of marketing rules. "Enron manipulated thinly traded physical markets to profit in financial markets," FERC said, estimating that Enron made more than $500 million in online trading in 2000 and 2001. FERC investigators recommended that the companies be forced to give up unfairly earned profits. The energy crisis cost the state as much as $45 billion over two years in higher electricity costs, lost business due to blackouts and a slowdown in economic growth, according to the Public Policy Institute of California. Shortcomings in California's energy market rules and a shortage of electricity stemming from the lack of hydropower in the Northwest in 2000 "made this fertile ground for the manipulation we found," said Donald Gelinas, who headed FERC's investigation. The regulatory agency capped wholesale power prices across the West and instituted other changes in June 2001 that brought a quick end to the energy crisis. A FERC administrative law judge has since found that California was overcharged $1.8 billion for power. Wood ordered an investigation in February 2002 after California officials repeatedly charged energy marketers with gouging California's utilities and its customers. Two months later, FERC obtained an internal Enron memo that described trading strategies, including sham transactions and other schemes aimed at creating congestion on the Western power grids and forcing up prices. Two former Enron traders have pleaded guilty to federal charges stemming from the trading strategies. The memo indicated that other companies had similar strategies, but provided no details. Energy companies have largely denied wrongdoing. Separately, California last week agreed to a settlement with El Paso Corp., for $1.7 billion, ending a dispute over whether the company withheld natural gas from California to drive up prices. Many California power plants use natural gas.Fly it like you stole it! Quote Share this post Link to post Share on other sites
Keith 0 #2 March 26, 2003 Bush, at the time, said he would do nothing to help the situation because it was a local issue not a federal one. Gee, I wonder why? Every one else seemed to know what the real issue was.Keith Don't Fuck with me Keith - J. Mandeville Quote Share this post Link to post Share on other sites
AggieDave 6 #3 March 26, 2003 Quote Every one else seemed to know what the real issue was That California uses too much energy and should have slid off into the ocean by now? --"When I die, may I be surrounded by scattered chrome and burning gasoline." Quote Share this post Link to post Share on other sites
Zenister 0 #4 March 26, 2003 dude that would SOOOO suck.. if only beacuse Eloy would become part of the Arizona bay ____________________________________ Those who fail to learn from the past are simply Doomed. Quote Share this post Link to post Share on other sites
happythoughts 0 #5 March 26, 2003 About 15 years ago, there was a few Florida utilities using oil-fired generators. The principal investors in the utilities were involved in a "daisy-chain" scam. This is where the oil is in a storage tank owned by corporation A. Corp A sells it to corp B. B to C, C to D. Each time adding a little bit to the price. Then, once the price is sufficiently inflated, it is sold to the utility. The trick is that corporations B, C, and D are owned by the same guys who are just funnelling money out by being pretend middle men. Quote Share this post Link to post Share on other sites
Shark 0 #6 March 26, 2003 Quote Quote Every one else seemed to know what the real issue was That California uses too much energy and should have slid off into the ocean by now? Cali uses too much energy because too many Texans have relocated here! Quote Share this post Link to post Share on other sites
skycat 0 #7 March 26, 2003 Quote Quote Quote Every one else seemed to know what the real issue was That California uses too much energy and should have slid off into the ocean by now? Cali uses too much energy because too many Texans have relocated here! yeah but that is offset by all the Cali's who moved to CO Fly it like you stole it! Quote Share this post Link to post Share on other sites
Shark 0 #8 March 26, 2003 Quote yeah but that is offset by all the Cali's who moved to CO Nope. That would be the bostonians who moved to cali, then moved to co. Quote Share this post Link to post Share on other sites
skycat 0 #9 March 26, 2003 Quote Nope. That would be the bostonians who moved to cali, then moved to co. So those are the bastards that like expensive housing......Fly it like you stole it! Quote Share this post Link to post Share on other sites
TequilaGirl 0 #10 March 26, 2003 Ok - look who is talking you transplanted Texan..... Quote Share this post Link to post Share on other sites
skycat 0 #11 March 26, 2003 Quote Ok - look who is talking you transplanted Texan..... Transplanted North Dakotan.....although 8 years in texas probably does make me a texas......tell Derek that 2 years in Texas make him a Texan, that always makes for hours of fun. Fly it like you stole it! Quote Share this post Link to post Share on other sites
TequilaGirl 0 #12 March 26, 2003 I should fly back to CO for that one...... Quote Share this post Link to post Share on other sites
skycat 0 #13 March 26, 2003 Also tell him now that he is an I/E that means he is an S&TA not limited by DZ..... Fly it like you stole it! Quote Share this post Link to post Share on other sites
SpeedRacer 1 #14 March 26, 2003 Texans eat a lot of chili & can generate their own natural gas. Speed Racer -------------------------------------------------- Quote Share this post Link to post Share on other sites
AggieDave 6 #15 March 26, 2003 Quote Texans eat a lot of chili & can generate their own natural gas That's why the 182s at SD Aggieland climb so damned fast! --"When I die, may I be surrounded by scattered chrome and burning gasoline." Quote Share this post Link to post Share on other sites
TequilaGirl 0 #16 March 26, 2003 I live in Texas and I hate Chile - try again...... Quote Share this post Link to post Share on other sites
cloudseeker2001 0 #17 March 27, 2003 Quote I live in Texas and I hate Chile - try again...... so does that mean you don't have gas? "Some call it heavenly in it's brilliance, others mean and rueful of the western dream" Quote Share this post Link to post Share on other sites
skycat 0 #18 March 27, 2003 Quote Quote I live in Texas and I hate Chile - try again...... so does that mean you don't have gas? don't you know girls don't have gas. Fly it like you stole it! Quote Share this post Link to post Share on other sites
AggieDave 6 #19 March 27, 2003 Quotedon't you know girls don't have gas. Yeah, they have plastic melting farts!--"When I die, may I be surrounded by scattered chrome and burning gasoline." Quote Share this post Link to post Share on other sites
cloudseeker2001 0 #20 March 27, 2003 Quote Quote Quote I live in Texas and I hate Chile - try again...... so does that mean you don't have gas? don't you know girls don't have gas. kelly, are you a jay and silent bob fan? and YES THEY DO, i have known women that could gag magots and blow the doors off a barn!!!!!!!!!! "Some call it heavenly in it's brilliance, others mean and rueful of the western dream" Quote Share this post Link to post Share on other sites
