StopPATH WV
  • News
  • StopPATH WV Blog
  • FAQ
  • Events
  • Fundraisers
  • Make a Donation
  • Landowner Resources
  • About PATH
  • Get Involved
  • Commercials
  • Links
  • About Us
  • Contact

Missouri Landowners Alliance Files FERC Protest and Missouri PSC Complaint Against Grain Belt Express

3/20/2014

2 Comments

 
The Missouri Landowners Alliance has retained excellent counsel to defend its interests against the intrusion of Texas-based Grain Belt Express.

After a long career with a big utility, attorney Paul Agathen brings a wealth of experience to the Alliance's legal team.  Paul has gone on the offensive with a Protest of the Grain Belt Express Application for Negotiated Rate Authority at the Federal Energy Regulatory Commission and a Formal Complaint before the Missouri Public Service Commission alleging that Grain Belt Express has violated and continues to violate the Commission's rules regarding ex parte communications.

First, let's take a look at the FERC Protest.  As a merchant (self-funded) transmission project, Grain Belt Express must concoct its own rate scheme to recover its cost of building and operating its proposed transmission line from customers.  GBE's rate scheme is under the jurisdiction of the FERC and must adhere to FERC's rules, including its non-discriminatory open access transmission rules.  GBE's rate scheme proposes that the company be allowed to negotiate rates with willing transmission customers in a open and non-discriminatory bidding process.  FERC's job is to review and approve GBE's proposed negotiation process BEFORE it occurs.

And, according to the protest, that's just the problem.  Although GBE hasn't "officially" initiated its "open season" for potential customers, GBE has already started soliciting interest from its preferred customers via a "Request for Information" directed solely toward wind project developers in Kansas.  Directing its solicitation to only wind developers discriminates against other forms of electric generation, such as solar or gas, that could potentially bid for capacity on GBE's transmission line.  This discrimination violates FERC's open access transmission rules.

GBE has been doing an elaborate fan dance with FERC, promising to provide access to all forms of generation, while touting its project as a "wind only" transmission line and soliciting interest from wind developers.

The Alliance's Protest asks that the Commission determine that GBE's proposed solicitation of customers is unduly discriminatory and dismiss GBE's application for negotiated rates.

Without negotiated rate authority from FERC, GBE will have no way to collect its cost of service.  No money, no GBE.

Moving on to the Missouri PSC Complaint, the Alliance alleges that GBE has been violating the Commission's ex parte rules.  Ex parte means "one side only" and refers to communication between the decisional authority and only one of two (or more) parties in a case.  It's like one person getting to have a private conversation with the judge in order to sway his opinion against the other person.

But that's not exactly the way the Alliance alleges GBE has violated this rule.  The ex parte rules state:
It is improper for any person interested in a case before the commission to attempt to sway the judgment of the commission by undertaking, directly or indirectly, outside the hearing process to bring pressure or influence to bear upon the commission, its employees, or the presiding officer assigned to the proceedings.
The Complaint alleges that GBE violated this rule through its extensive public relations campaign intended to influence public opinion through statements on its websites, the gathering of boiler plate letters of support for its project, public statements and media interviews, and meetings with local government officials.

The Alliance is not objecting to GBE providing legitimate information to the public:
The Alliance is not objecting here to  everything on the two Grain Belt websites.
It recognizes, for example, that it is perfectly acceptable for Grain Belt to provide  nonargumentative factual descriptions of the Line and its supporting towers; to include maps of the alternative routes of the Line; to provide information for potential suppliers of
component parts for the line; and to address any other matter which is not likely to be a
contested issue at the forthcoming  Commission hearings.
The Alliance is objecting to GBE's elaborate public relations campaign:
As is apparent from all of the above, Grain Belt has engaged and continues to engage in an elaborate PR campaign designed to sway public opinion on matters which it will litigate in the forthcoming Commission proceedings. Their campaign is extensive, it is expensive, and it is professionally managed in all of its various aspects. They have even incorporated Facebook and Twitter into their PR arsenal, and added links in their website to a number of video presentations.

For example, it its Application to the FERC for approvals regarding the proposed Line, Grain Belt refers to their video "that describes the need for the Project and how Grain Belt Express will bring significant economic benefit to states through much-needed transmission expansion for new wind energy projects .... " (Exh. 23, p. 8).

This description of the Grain Belt PR efforts is not intended in the pejorative sense at all. The Grain Belt publicity campaign is undoubtedly effective, and will no doubt accomplishing two of its principal goals: to sway public opinion on the Line in Grain Belt's favor, and to thereby convince members of the public to sign on to the computer-generated letters of support which Grain Belt will file with the Commission.

The letters may have no effect at all with the Commission. However, the ultimate impact of Grain Belt's efforts should not be the deciding question here. If Grain Belt has violated the Commission's ex parte rules, their conduct should not be excused by some sort of "no harm, no foul" escape clause.

We may never know how many people in Missouri were exposed to and influenced by Grain Belt's one-sided presentation on issues which they themselves will raise later at the Commission. Nor could the Alliance ever hope to present its own position to all of the people reached by Grain Belt. Grain Belt has been waging an extensive PR campaign for about four years, and will likely win that battle.

Just how Grain Belt has gone about doing so is illustrated in materials presented at a recent conference in Houston, where participants spent two days learning various techniques for "selling" a transmission project to the public.
A copy of the initial brochure for that  conference is attached here as Exhibit 18.
As noted on the first page, the conference was held this past January, and was to be
hosted by Grain Belt's parent company- Clean Line. As noted at page 3 of that brochure, the keynote speaker at the conference was to be the Executive Vice-President of Clean Line.

According to the brochure, this is a sample of what those involved with building and siting transmission lines were to learn in Houston:

• How best to utilize social media to "engage the public", including who you can expect to reach, and how to go about doing it. (Exh. 18, p. 4) Not surprisingly, an expert in social media from Clean Line was to be one of the two speakers on this subject.
• How to deal with people disparagingly referred to as "NIMBYs" and "BANANAs". Ironically, the audience at that session was also told that a driving force behind the emergence of community-based opposition groups has been the push to build more infrastructure to support more renewable energy. (Exh. 18, p. 4).
• In "Marketing to Mayberry" the attendees would learn, among other things, how to talk down to people in small town, rural America, by communicating with them "in a conversational tone rather than corporate tone ... "  Presumably, these techniques were designed with the citizens of rural northern Missouri in mind.
• "How to frame and 'sell' infrastructure projects ... ", and how to use "effective
strategies and tactics, and share in critique of on-camera training ... "
• How to deal with the media, including:  "Getting into a reporter's head"; "How to answer questions you don't want to be asked"; and how to "position" your message to the media. (Exh. 18, p. 6)
• Finally, the Executive Vice President from Clean Line was to explain "how to ensure that our stakeholders feel they are informed and part of the process". (
emphasis added). Apparently, it is not important to Clean Line that stakeholders actually be informed, or actually be involved in the process, so long as they are somehow made to feel that they are.

The Complaint asks the Commission to find that GBE violated the ex parte rules, order it to revise its websites to conform to the rules, "that the letters of support included by Grain Belt with its Application for
Commission approval of the Line constitute the fruit of a poisonous website, and be therefore stricken from the record in that case,"
and other just and reasonable relief.

Everyone needs to read this Complaint.  The uneven playing field on which transmission owners and the public who oppose them do battle has been clearly defined as unfair.  This is the new normal of transmission opposition, so transmission developers may as well get used to it and turn over a new leaf to play fair.
2 Comments

PATH FERC Settlement Talks Reach Impasse

3/20/2014

0 Comments

 
Over the past year, confidential settlement discussions have been held at FERC between PATH and parties to the consolidated case of PATH's request to recover $121M of  abandoned plant, and the three Formal Challenges filed by Ali & Keryn seeking return of $11M they allege was wrongly recovered by PATH between 2009 - 2011.

This morning, the settlement judge issued a report informing the Commission that the parties "
...have reached an impasse in their efforts to reach a settlement in Docket Nos. ER09-1256-000 and ER12-2708-000.  Accordingly, I recommend termination of settlement proceedings..."

Therefore, the next step is for the cases to proceed to "a public trial-type evidentiary hearing."

0 Comments

FERC Says Wall Street Journal is "Irresponsible"

3/13/2014

0 Comments

 
Much to the Federal Energy Regulatory Commission's chagrin, Wall Street Journal's Rebecca Smith continues exposing our dangerously centralized grid's foibles.

WSJ published another article yesterday that said "[t]he U.S. could suffer a coast-to-coast blackout if saboteurs knocked out just nine of the country's 55,000 electric-transmission substations on a scorching summer day, according to a previously unreported federal analysis."

To read the article, plug this phrase into Google: "U.S. Risks National Blackout From Small-Scale Attack" If the WSJ really wanted the public to be aware of their investigative journalism coup and foment an army of misguided public outrage, it shouldn't stick all its articles behind an easily avoided pay wall.  Just a suggestion.

The article seems to have drawn its information from "sensitive" FERC documents:
A memo prepared at FERC in late June for Mr. Wellinghoff before he briefed senior officials made several urgent points. "Destroy nine interconnection substations and a transformer manufacturer and the entire United States grid would be down for at least 18 months, probably longer," said the memo, which was reviewed by the Journal. That lengthy outage is possible for several reasons, including that only a handful of U.S. factories build transformers.
Acting Chairman (woman?) Cheryl LaFleur was quick to reach out and slap WSJ for its impudence by issuing a statement that read, in part:
"Today’s publication by The Wall Street Journal of sensitive information about the grid undermines the careful work done by professionals who dedicate their careers to providing the American people with a reliable and secure grid. The Wall Street Journal has appropriately declined to identify by name particularly critical substations throughout the country. Nonetheless, the publication of other sensitive information is highly irresponsible. While there may be value in a general discussion of the steps we take to keep the grid safe, the publication of sensitive material about the grid crosses the line from transparency to irresponsibility, and gives those who would do us harm a roadmap to achieve malicious designs. The American people deserve better."

In response to the WSJ's last grid vulnerability expose, FERC Commissioners issued statements on February 20 designed to quell panic and a rush to throw money -- your money -- at the security risk posed by our interconnected grid that is currently being designed to support Enron-style energy trading.  Only one of the Commissioners showed an understanding of the real underlying problem.  Commissioner Norris noted that efforts to decentralize the grid would address resiliency:
“To address physical vulnerability, it is also important to focus our efforts on modernizing our electric grid. Building the grid of the future will play a key role in addressing multiple security and reliability threats or situations. We should look to further deployment of phasor measurement units, wide-area management systems and enhanced situational awareness. Furthering efforts in the development and deployment of microgrids and smart grid technology will also greatly assist in addressing grid resiliency. These efforts, along with system-wide planning, are just a few examples of how we can increase our ability to make the grid more reliable and efficient.
Last week, FERC directed NERC to "address physical security risks and vulnerabilities related to the reliable operation of the bulk-power system."
But the WSJ plowed right on ahead with their next article, which fails to even mention decentralization.  Instead, the WSJ focused on more centralized "solutions."
Because it is difficult to build new transmission routes, existing big substations are becoming more crucial to handling electricity.
This isn't about building new transmission and "safer" substations to further centralize our energy production and delivery system, but about decentralizing by building more small-scale, fuel-free generation at point of use.

But that doesn't sell newspapers, fill days and days of Faux News programming, or plump up corporate balance sheets.  When are these people going to start telling YOU the truth?



0 Comments

PJM Consumers on the Hook for $80.5M for Failed MAPP Project

3/5/2014

4 Comments

 
A settlement has been approved by the Federal Energy Regulatory Commission in the matter of recovery of costs of PJM's failed Mid-Atlantic Power Pathway (MAPP) project.

MAPP was one of four unnecessary transmission projects proposed by PJM in their Project Mountaineer initiative to increase the use of coal-fired resources by shipping 5,000MW of coal-fired electricity from the Ohio Valley to the East coast.  Of these 4 projects (MAPP, PATH, TrAIL and Susquehanna Roseland), two have been cancelled, one has been completed, and one is under construction.  The only difference between them is timing and execution by their owners.

All four of these projects took advantage of newly-minted transmission project incentives available from FERC, brought to you by the Energy Policy Act of 2005.  One of the incentives granted to these projects was the guaranteed recovery of prudently-incurred project investment in the event the project was abandoned and not built through no fault of the owner.

Therefore, once MAPP was abandoned, its owner, Pepco, filed with FERC for permission to recover its investment in the unbuilt project.  Unrecovered investment included capital expense "construction work in progress" costs, which is roughly defined as all expenses for electric projects under construction, including such items as land purchased, labor, engineering and regulatory costs.  The amount Pepco filed to recover was $87.5M.

Because some parties intervened and protested the recovery, FERC set the matter for settlement and hearing.  A settlement was reached and recently approved by the Commission.

The settlement allows Pepco to recover $80.5M in abandonment costs over a three year period, and allows the company to maintain ownership of all land and land rights purchased as part of the project.  However, Pepco must remove the land from its rate base (capital account) that earns a yearly return paid by all electric consumers in the PJM region.

In its cost recovery filing, Pepco valued its land acquisition activities at $38.1M, although actual land values would most likely be much less.  So, how much land did Pepco buy for MAPP that the company now owns free and clear?
Converter station sites in Calvert and Wicomico County, MD and Sussex
County, DE were acquired;

Takeoff points into and out of the Chesapeake Bay were acquired;

Transition station locations in Dorchester County were acquired; and

Transmission line right-of-way for entire length was acquired, except for one property in Dorchester County where negotiation was pending.
Looks like Pepco has enough land to concoct another unnecessary transmission project at ratepayer expense, and it looks like Pepco still holds these landowners' lives in limbo under the threat of building a transmission line across their properties.  Let this be a lesson to you... do NOT sign right-of-way agreements early in the process, before a project is approved and receives a permit from all states through which it is routed.

Ratepayers in 14 states will remember PJM's failed Project Mountaineer as they pay off Pepco's unbuilt MAPP debt in their electric bills for the next three years.
  Thanks, PJM!



4 Comments

Is FERC a Bully?

3/4/2014

7 Comments

 
From the train wreck files... the pieces of information you try to drive by without looking closely, but inevitably you turn around and drive by again for another look:

An article on Risk.net entitled Power trading firm blasts Ferc over manipulation probe tells an interesting tale.
In an unorthodox move, a little-known power trading firm has disclosed that it is under investigation by the US Federal Energy Regulatory Commission (Ferc) for market manipulation, mounting a vigorous public defence of its activities and arguing that Ferc has overreached in going after its trader.
The company has put together a website with a bunch of case documents I don't have time or inclination to read, videos, and opinions that support its position that it's being picked on by FERC.

The Risk article describes the issue this way:
Chen's trades made use of an obscure type of PJM transaction called 'up-to-congestion' (UTC) trades, which involve the scheduling of electricity flows across the border between PJM and one of its neighbouring wholesale power markets, such as the one operated by the Midcontinent Independent System Operator (Miso). When carrying out a UTC trade, a market participant can specify the maximum level of congestion costs that he or she is willing to pay to move power across a particular path. For instance, if the threshold of the UTC trade is set at $50 per megawatt-hour (/MWh), then PJM will schedule the flow, as long as the congestion cost between the two specified nodes stays below $50/MWh. If the cost of congestion along that path rises above that level, the trade gets knocked out and no electricity flow is scheduled.

Powhatan – like other financial trading firms operating in US power markets – trades only 'virtual' power. In other words, whenever it schedules any electricity flows in the day-ahead market, it cancels them out in the real-time market, so no physical power actually flows. Such traders essentially act as arbitrageurs between the day-ahead and real-time power market.

Chen's trading strategy involved pairs of UTC trades, with two legs that ran in opposite directions along the same path — for instance, from the Miso border to a node in PJM, and back from that node to the Miso border. According to the documents posted on FercLitigation.com, Chen discovered a profitable trading strategy in which he could enter such paired UTC transactions and then collect money from transmission loss credits (TLCs) – a type of rebate payment that PJM makes to market participants that use its transmission lines. Until September 2010, when PJM implemented its rule change, it was possible for virtual traders such as Powhatan to collect TLCs from UTC transactions, even though they were not actually sending physical power through the grid.
The article notes that FERC approved an after-the-fact change to PJM's market rules to prevent further use of this trading strategy.

Our friends at RTO Insider also have an article about this issue that provides more information and made me think that FERC might be behaving like a bully.  But, I'm still having a hard time mustering up any real, personal sympathy for anybody involved in this case.  It just doesn't tug my heart strings like senior citizens who can't pay their outrageous electric bill because there's so much nonsense added to the actual cost of service.  Call me jaded.

So, is this the kind of aggressive FERC we would see under the leadership of Norman Bay, who was nominated for the Chairman position in January, after the big green failure of the Binz nomination late last year?

Bay will have to go through the same confirmation process that raked Binz over the coals, and no stone will be left unturned to pick him apart before the Senate Energy Committee.

Meanwhile, I think I'll go organize my record collection.

7 Comments

How's That Deregulation Thing Working Out, Pennsylvania?

3/3/2014

0 Comments

 
Regulation vs. deregulation debates pop up from time-to-time.  I think the last one I participated in was presented as a way to "fix" Potomac Edison's billing & meter reading transgressions through competition.  Of course, deregulation doesn't change your local electric company that meters and bills your service, it simply changes your generation supplier, so deregulation is, once again, useless as a solution.

I've had people swear to me that deregulation saves consumers money, but my research has actually revealed the opposite.  Deregulation, an invention of our friends at Enron, actually costs consumers money.  Deregulation inserts a middleman between you and the generator, and that middle man wants to get paid.  While some may argue that the middleman can insert competition into a monopoly situation to result in savings, that's unlikely to happen.  The monopoly is prohibited by regulation from the kind of usurious rate gouging that goes on in deregulated markets.  Being from West Virginia I say this with a smirk on my face, because I am also unconvinced that our regulators actually have consumer interests in mind, and believe they will look the other way, or even encourage, regulated rip-offs of captive customers by out-of-state electric conglomerates.

Electric consumers in Pennsylvania's deregulated electricity market are up in arms because the state's regulators have not protected them from signing open ended variable rate contracts.  What did they think "deregulated" meant?  My experience has been that the average electric consumer is uneducated about his electric bill, the electric rates he pays, and the regulatory process, and he LIKES it that way!  It is only when a bill shows up that seems to be higher than normal that average electric Joe gets upset and demands that "someone" do something to lower his bill!

Pennsylvanians who signed variable rate contracts with deregulated electric suppliers got slammed by PJM's markets during this year's "polar vortex."  Customers received bills hundreds of dollars higher than normal because their middleman may have been locked into power purchase contracts that didn't adequately protect against price spikes caused by generator outages and high demand for natural gas to generate electricity.  And, it's probably going to get worse.  At its earnings call last week, FirstEnergy made it clear that the company's future power purchase contracts will contain language that passes this volatility through to customers:
Steve Fleishman - Wolfe
And in the future, do most of your contracts have that clause, so new ones do or not older ones or vice versa?

Leila Vespoli - EVP, Markets, and Chief Legal Officer
I think it would be safe to say that we are going to be adding that language where we can in the future.
Neither the generator, nor the middleman, wants to absorb the cost of PJM's market failure so it will always be passed on to the deregulated customer because no one is protecting average electric Joe in a deregulated environmment.  FERC and PJM fail to realize that those poor, persecuted generators who were required to operate at a loss for a few hours or days due to the price cap are making money hand over fist every other day of the year.  Pay to play, little generators!

FERC compounded the problem by allowing these greedy corporate entities to further game PJM's malfunctioning markets.  FERC has allowed generators to charge whatever they want, and is in denial about any "harm" that may result: 
FERC said PJM's proposal met the commission's criteria for approving waivers, as doing so would remedy a "concrete problem," would not harm third parties and would be limited in scope.
Maybe affected customers in Pennsylvania should send FERC a copy of their outrageous "concrete problem" bills so they can make note of the harm PJM's markets have caused to real people. 

Deregulation sounds great in theory, but it rarely saves the consumer money in the real world.
0 Comments

Moody's Dubs Transmission Building Schemes "A Credit Positive"

2/7/2014

0 Comments

 
Moody's researchers have been busy contemplating investor owned utilities' most recent scheme to "de-risk" their holding companies by shifting investments to the regulated side of the business.  After gathering all sorts of information available, Moody's has weighed the risks and decided that this utility investment scheme is a safe harbor for the time being, and utilities engaging in it should receive higher credit ratings.

I think Moody's got it wrong because they discounted the mettle and determination of regulators, elected officials, not-for-profit entities, and the people they represent, to continue to toss banana peels into the utility feeding frenzy that threatens to bleed them dry.  We're quite creative and getting smarter every day. :-)

Although the actual report is for subscribers only, an article in Platts tell us that Moody's has concluded that utility holding company transmission subsidiaries have a stranglehold on regional transmission operators.
"FERC transmission regulation provides forward-looking formula rates, true-up mechanisms and premium authorized returns on equity. Transmission owners face limited revenue risk, owing to strong counterparty relationships with the operating utilities and the regional transmission organization," Moody's said.

The report also "highlight[ed] the key role that US Federal Energy Regulatory Commission policies are playing in driving transmission investment" and attributed "a premium return and good cost recovery" for transmission as "thanks in part to FERC's regulatory policies, calling the commission's oversight "a material credit positive."

Moody's chose to bat aside the current parade of ROE complaints at FERC.  Perhaps Moody's thinks that ridiculous petitions like WIRES' request to stop the complaints actually has merit?  Moody's needs to take a gander at the RM13-18 docket and face reality.  The money buffet isn't going to last forever.

And Moody's totally checked out on the one thing that utilities, FERC and transmission operators have no control over:

The exploding resistance to new transmission in the form of landowners, ratepayers and local elected officials.

FERC's "premium return" means nothing when transmission can't be built due to overwhelming opposition that equates to political poison, or when ratepayers accept their responsibility to examine and challenge transmission rates they must pay.

But, that's okay, Moody's.  We're patient, and we're used to being on the cutting edge of new trends, instead of running behind trying to shore up failing business models.
0 Comments

News Flash:  Our Grid is Vulnerable

2/5/2014

7 Comments

 
Well, duh.

Big article in the Wall Street Journal yesterday, Assault on California Power Station Raises Alarm on Potential for Terrorism, that reports on a coordinated attack at a California substation that sounds like a scene from an action film.

According to the article, the information came from former FERC Commissioner Jon Wellinghoff, who has taken up lurking around substations in his dotage.  Apparently Wellinghoff was horrified at the substation attack last April and
the subsequent realization that our grid is astonishingly vulnerable and there's not much FERC can do about it.

I know what FERC can do about it...  Stop promoting centralized generation and an increasing network of high voltage transmission lines to trade electricity like a commodity from coast to coast!


If you think substations are vulnerable, spend a few minutes pondering the thousands of miles of high voltage transmission lines strung everywhere.  True, an attack on one remote tower may not have much effect and could be easily fixed, but what about a coordinated attack on hundreds of towers that supply our cities at the same time?


Our military isn't dumb enough to rely on a power supply this vulnerable, so why should we?  As far back as 2007, the U.S. military was studying electric grid vulnerability and concluded that "distributed generation" (yes, they used quotes, like Dr. Evil with his "laser") was our best defense.

And so it is - our military is practicing distributed generation.


So, when is Congress going to put a stop to the transmission feeding frenzy and start protecting the rest of us?


7 Comments

Arkansas Ratepayer Files Formal Challenge of American Electric Power's FERC Transmission Rate

1/23/2014

1 Comment

 
Complaint Alleges AEP's SWEPCO subsidiary overcharged regional ratepayers for transmission charges in 2012
Martha Peine of Eureka Springs, Arkansas, has filed a complaint with the Federal Energy Regulatory Commission (FERC), alleging that American Electric Power’s SWEPCO transmission subsidiary has improperly charged thousands of dollars in lobbying, advertising, charitable contributions, and other non-transmission expenditures to ratepayers in Southwest Power Pool’s nine-state region, which includes portions of Arkansas.

Electric ratepayer Peine filed her Formal Challenge to American Electric Power Service Corporation’s 2013 Formula Rate Annual Update with the FERC on Wednesday.   Her examination of transmission rates, conducted under federal transparency rules, revealed AEP has improperly charged Arkansas ratepayers for general advertising and promotional expenses, charitable donations and related expenses, economic development expenses unrelated to transmission, lobbying expenses, merger expenses, and other non-transmission expenses totaling $92,511.  The complaint asks that FERC grant the challenge and order refunds to ratepayers of amounts wrongly included in rates.

According to Peine, “The problem has been that no one reviews these FERC filings on a micro-level to determine if unallowable expenses are included.”

AEP/SWEPCO has already acknowledged over $16,000 in wrongful charges as a result of Peine’s discovery efforts, and has made provisions to credit ratepayers for this amount.  However, Peine contends that an additional $95K was also wrongly charged to electric customers in their monthly bills and has not yet been refunded.

The total includes expenses such as lunch with Larry Smith, mayor of Cave Springs, and others in November 2012 while presenting a big-fat-check to the Illinois River Watershed Partnership for the development of a 30-acre watershed sanctuary at Cave Springs. Mayor Smith later gave testimony before the APSC that SWEPCO’s preferred route 33 is perfectly reasonable, even though it would damage the Trail of Tears and National Military Park at Pea Ridge, and that the alternate route proposed to pass through his own city was not reasonable.

Other corporate expenses incorrectly recovered from all AEP ratepayers, including its Arkansas transmission subsidiaries, were expenses for AEP’s “Lemonade Stand” TV commercial that AEP ran during a particularly nasty Ohio regulatory battle with rival FirstEnergy in 2012.  The commercial attempted to influence the Public Utility Commission of Ohio’s decision in a case involving AEP’s corporate reorganization to comply with Ohio’s electric deregulation laws.

Oh... ho ho ho... the Lemonade Ad?

You didn't recover that from ratepayers, did you, AEP?  Tsk, tsk, tsk!  I thought we advised you not to do that!

SWEPCO has 30 days to produce its answer to the charges before the federal commission.

The complaint can be downloaded here.
1 Comment

Heroes and Zeroes in Kansas

1/7/2014

3 Comments

 
I'm not sure what's gotten into the tea across the pond, but The Guardian has named Kansas Republican Governor Sam Brownback a "Climate Change Hero."
Sam Brownback, Republican Kanas Governor, and lawmakers in a dozen other US states who fought off cynical attacks to repeal state Renewable Portfolio Standards, which have catalysed thousands of wind and solar projects across the country and generated hundreds of thousands of jobs.
But, maybe it's some other Sam Brownback, the one who's the Governor of "Kanas?"  The Sam Brownback who's the Governor of Kansas is no hero, for the climate or the people of Kansas.  Sam Brownback is the "hero" of the corporations who fund his political campaigns, and just because it now happens to be wind energy corporations does not a "hero" make.
hero |ˈhi(ə)rō|
noun (pl. heroes)
1 a person, typically a man, who is admired or idealized for courage, outstanding achievements, or noble qualities: a war hero.
Four years ago, Sam the "Climate Change Hero" said:
The recent disclosure of the manipulation of scientific evidence by climate researchers is exactly the kind of important information that needs to be brought to light. The emails and documents recently disclosed paint an alarming picture of the state of climate research. In the emails that have been disclosed we’ve seen evidence of manipulation, efforts to avoid freedom of act information requests, abuse of the peer review process and a research process that that is driven more by a political agenda than a quest for truth. [Brownback, DeMint, Ensign, Isakson, Vitter, and Wicker, 12/8/09]
Right, it's more about a political agenda than a search for truth.  So, what's the truth?  The truth is that it looks like the hugely profitable land based wind industry has convinced Sam that covering Kansas with wind turbines and transmission lines and selling the electricity produced to "states farther east" would cut his state in on the fortune to be made with "green" branding and "Saudi Arabia of Wind" claims.

For that, Sam has tossed his former campaign financiers in the oil & gas industry under the bus.  Because he's a "hero."  Right.  I'll believe Sam's climate change epiphany after examining his campaign finance reports for 2014.

"Big wind" continues to lie to politicians like Sam, encouraging him to lay waste to his own state so that energy corporations may profit producing electricity there and selling it to other states.  Isn't that what happened in West Virginia more than 100 years ago?  Look at how fine that worked out for the people of West Virginia.

The "truth" will reveal itself in the voting booth later this year.

Now let's move on to the zeroes...

The benighted Kansas Corporation Commission has intervened in the Grain Belt Express "Clean" Line application for negotiated rate authority at the Federal Energy Regulatory Commission.


Remember, the KCC failed to hire any experts to vet GBE's application for a siting permit in Kansas, instead relying on the testimony of GBE, verified by a couple of in-house electrical engineers opining way outside their areas of expertise.

However, the KCC found funds to hire deep-pocket law firm Andrews Kurth to represent its interests in GBE's application at FERC.
 

And hilarity ensued...


Due to an exceptional amount of pressing business, the KCC inadvertently failed to notice the subject proceeding until after the date for timely intervention had passed.

...the KCC’s failure to file a timely intervention was based upon factors outside of its control.
"Pressing business?"  What state public service commission isn't constantly embroiled in "pressing business?"  An "inadvertent failure to notice the subject proceeding" isn't really "a factor outside [KCC's] control."  But, whatever... it gets funnier....
[KCC] is the regulatory agency that has jurisdiction over the wholesale and retail rates that will be impacted by the proposed formula rate and incentive rate adders filed for approval in this docket.
Layperson Internet Energy Blog Education Moment for the KCC and Andrews Kurth:

There is no formula rate or incentives applied for in this docket!  It's an application for negotiated rate authority filed by a merchant transmission project.  That means that the developer of the project is responsible for all costs of building and operating its project and will recover them directly from customers through rates it is asking FERC for permission to negotiate, NOT FROM RATEPAYERS, in Kansas or elsewhere.  And GBE is not eligible to apply for incentives because it is not part of any coordinated transmission expansion plan, nor planning to be.

What a stupid waste of time and billable hours.

3 Comments
<<Previous
Forward>>

    About the Author

    Keryn Newman blogs here at StopPATH WV about energy issues, transmission policy, misguided regulation, our greedy energy companies and their corporate spin.
    In 2008, AEP & Allegheny Energy's PATH joint venture used their transmission line routing etch-a-sketch to draw a 765kV line across the street from her house. Oooops! And the rest is history.

    About
    StopPATH Blog

    StopPATH Blog began as a forum for information and opinion about the PATH transmission project.  The PATH project was abandoned in 2012, however, this blog was not.

    StopPATH Blog continues to bring you energy policy news and opinion from a consumer's point of view.  If it's sometimes snarky and oftentimes irreverent, just remember that the truth isn't pretty.  People come here because they want the truth, instead of the usual dreadful lies this industry continues to tell itself.  If you keep reading, I'll keep writing.


    Need help opposing unneeded transmission?
    Email me


    Search This Site

    Got something to say?  Submit your own opinion for publication.

    RSS Feed

    Archives

    August 2025
    July 2025
    June 2025
    May 2025
    April 2025
    March 2025
    February 2025
    January 2025
    December 2024
    November 2024
    October 2024
    September 2024
    August 2024
    July 2024
    June 2024
    May 2024
    April 2024
    March 2024
    February 2024
    January 2024
    December 2023
    November 2023
    October 2023
    September 2023
    August 2023
    July 2023
    June 2023
    May 2023
    April 2023
    March 2023
    February 2023
    January 2023
    December 2022
    November 2022
    October 2022
    September 2022
    August 2022
    July 2022
    June 2022
    May 2022
    April 2022
    March 2022
    February 2022
    January 2022
    December 2021
    November 2021
    October 2021
    September 2021
    August 2021
    July 2021
    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    February 2020
    January 2020
    December 2019
    November 2019
    October 2019
    September 2019
    August 2019
    July 2019
    June 2019
    May 2019
    April 2019
    March 2019
    February 2019
    January 2019
    December 2018
    November 2018
    October 2018
    September 2018
    August 2018
    July 2018
    June 2018
    May 2018
    April 2018
    March 2018
    February 2018
    January 2018
    December 2017
    November 2017
    October 2017
    September 2017
    August 2017
    July 2017
    June 2017
    May 2017
    April 2017
    March 2017
    February 2017
    January 2017
    December 2016
    November 2016
    October 2016
    September 2016
    August 2016
    July 2016
    June 2016
    May 2016
    April 2016
    March 2016
    February 2016
    January 2016
    December 2015
    November 2015
    October 2015
    September 2015
    August 2015
    July 2015
    June 2015
    May 2015
    April 2015
    March 2015
    February 2015
    January 2015
    December 2014
    November 2014
    October 2014
    September 2014
    August 2014
    July 2014
    June 2014
    May 2014
    April 2014
    March 2014
    February 2014
    January 2014
    December 2013
    November 2013
    October 2013
    September 2013
    August 2013
    July 2013
    June 2013
    May 2013
    April 2013
    March 2013
    February 2013
    January 2013
    December 2012
    November 2012
    October 2012
    September 2012
    August 2012
    July 2012
    June 2012
    May 2012
    April 2012
    March 2012
    February 2012
    January 2012
    December 2011
    November 2011
    October 2011
    September 2011
    August 2011
    July 2011
    June 2011
    May 2011
    April 2011
    March 2011
    February 2011
    January 2011
    December 2010
    November 2010
    October 2010
    September 2010
    August 2010
    July 2010
    June 2010
    May 2010
    April 2010
    March 2010
    February 2010
    January 2010

    Categories

    All
    $$$$$$
    2023 PJM Transmission
    Aep Vs Firstenergy
    Arkansas
    Best Practices
    Best Practices
    Big Winds Big Lie
    Can Of Worms
    Carolinas
    Citizen Action
    Colorado
    Corporate Propaganda
    Data Centers
    Democracy Failures
    DOE Failure
    Emf
    Eminent Domain
    Events
    Ferc Action
    FERC Incentives Part Deux
    Ferc Transmission Noi
    Firstenergy Failure
    Good Ideas
    Illinois
    Iowa
    Kansas
    Land Agents
    Legislative Action
    Marketing To Mayberry
    MARL
    Missouri
    Mtstorm Doubs Rebuild
    Mtstormdoubs Rebuild
    New Jersey
    New Mexico
    Newslinks
    NIETC
    Opinion
    Path Alternatives
    Path Failures
    Path Intimidation Attempts
    Pay To Play
    Potomac Edison Investigation
    Power Company Propaganda
    Psc Failure
    Rates
    Regulatory Capture
    Skelly Fail
    The Pjm Cartel
    Top Ten Clean Line Mistakes
    Transource
    Valley Link Transmission
    Washington
    West Virginia
    Wind Catcher
    Wisconsin

Copyright 2010 StopPATH WV, Inc.