Guest editorial

By The Malibu Times · Thu Feb 08 2001

Throwing light on issue

Keeping the lights on throughout the state is the mantra in the halls of the state capitol. As a new assemblymember I am faced with helping solve a complex problem that I didn't help create or support. However, it is now up to the new Legislature to find the best way to maintain electric service for consumers at the best possible price.

Six years ago, the Public Utilities Commission and Gov. Wilson's administration began to implement this failed electricity deregulation plan. The powerful investor-owned utilities gambled wrong. Spot market energy prices went way up, not down.

The inability of utilities to secure long-term stable supply contracts exposed the ratepayers to this dysfunctional system. Those companies supplying energy to the utilities were able to manipulate the market place. Spending $45 million each day on the spot market to acquire energy is unconscionable whether the utilities or the state acquires it.

As policymakers, we don't have good or simple choices to provide this basic service in the next few months. The challenge is to develop both short-term and long-term strategies to meet the projected demand and protect the economy of our great state. Recently, the Legislature adopted legislation that will stabilize the market and provide greater protection to ratepayers by insulating residential usage up to 130 percent of the baseline allowance from any potential rate increase.

During the 1980s and 1990s government made the mistake of reducing investment in the development of alternative energy sources. Alternative technologies have improved since I installed solar collectors on my house in the 1970s. Strides have been made in more energy efficient appliances and windows. The state should use tax incentives, low interest loans, and grants to schools, local governments, small businesses and residents to reduce energy usage. These energy efficiency and on-site generation projects should have quantifiable objectives tied to the dollars invested.

We need to create new supplies and upgrade transmission lines without compromising the hard- fought environmental protections.

We can do this by:

• Upgrading existing energy facilities to operate more efficiently.

• Providing expedited review and approval of new on-site generators and generation facilities.

• Following New York City's example and operate small temporary facilities that run on clean burning fuels at strategic points around the state to meet the coming summer's shortfall.

• Establishing a tiered rate structure to protect ratepayers who conserve.

• Investing and implementing energy efficiency and use reduction programs to reduce demand on the system and protect ratepayers.

• Requiring a "California First" policy for energy facilities so that only excess energy produced in our state is sold to other states.

We must resist the temptation to throw money at the problem and carefully invest to reduce demand on the system and increase energy independence for schools, local governments and residences. We must evaluate the cost of each of these investments and the related megawatt reduction.

Keeping the lights on is the main goal. Protecting consumers by helping them reduce their need to buy electricity from the utilities and increasing energy supply while protecting the environment is my goal.

Assemblymember Fran Pavley