Demand Comforts Developers Despite Western Rate Hikes
An extended period of unstable electricity prices in the West has politicians scrambling to ease the pain of customers whose rates have doubled and tripled. But independent generation developers, undaunted by the prospect of politically motivated manipulation of the market, are forging ahead with plans to meet urgent demand.
The extraordinary rate hikes in California's San Diego and Orange counties have led even strong proponents of the state's deregulation process to question its wisdom (ENR 8/7 p. 14). On Aug. 21, the state Public Utilities Commission caved in to political pressure, approving a rate cap for commercial and residential customers.