Just More Names, Not Fewer Charges
Real competition in California’s electric utility industry has a long way to go. You report that only 1% of California’s electric consumers have switched so far [“In April, 36,000 Make Switch to a Different Power Provider,” May 21]. But your example of a deregulation success is even more distressing: a contract signed by a drugstore chain with the unregulated affiliate of PG&E;, one of California’s Big Three electric utility monopolies.
So far, the biggest change we’ve seen deregulation bring about is a proliferation of logos utilities use. You can now deal with nine Edison companies instead of one. Instead of a legislated firewall between regulated and unregulated sides of monopoly utilities, we see only a blur resulting as hands rapidly go from one pocket to another.
One of the larger independents, Enron, recently quit the California residential market because the “level playing fields” promised by deregulation are instead “downhill chutes” delivering gold to the corporate headquarters of the monopolies.
The big losers are California electric customers. Under deregulation, utilities are highly compensated for bad investments under the guise of “recouping stranded costs.”
Now they’re lobbying Sacramento--Edison is one of the top 10 lobbyists in California--to legislate against unbundling, or letting customers know what they’re paying for.
The California Public Utilities Commission ordered the utilities to unbundle their charges in order to foster competition. Without competition, there can be no reduction of electric rates--rates which are currently 150% of the national average.
CHARLES HALEY
President
PowerCom Energy
and Communications Access
Harbor City
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Enron remains committed to California as an electric service provider, a corporate community citizen, an employer and as a leader in the effort to allow all electricity consumers--large and small--the opportunity to see the benefits of customer choice [“Enron’s Pullout Shows Consumers Have the Real Power,” Letters, May 3].
Enron applauds the California Legislature for taking the bold step of restructuring an industry never before exposed to competition.
As a result of this historic legislation, Californians will come to experience an era of low energy prices, innovative products and superior services. Enron continues to serve those residential customers who have chosen us as their electric service provider.
In the meantime, Enron’s pursuit for a viable and competitive residential market remains a material priority. When that goal is achieved, Enron intends to serve all customers and will introduce new energy-related services that provide households with unprecedented convenience and security.
LEE A. JESTINGS
Senior Vice President
Enron Energy Services
Walnut Creek
