DUMP DAVI$
GO SIMON
Well, there you have it, the Democrats are screaming for the FERC and Justice Department to through the book at Enron and one of the parties that was the most active in manipulating the power market was the entity suppose to be responsible for managing the transmission system on a fair and impartial basis, the Cal-ISO.
Based on the way Davis has angered the FERC Commissioners and staff, it should be real interesting to see who they through the book at and if after all Davis' screaming about refunds that FERC mandates the Cal-ISO pay huge fines and refunds along with DWR. It could happen.
When the dust settles, I think that California will be lucky if they don?t have to pay huge fines and if some of Davis appointees aren?t thrown in jail for what they did to manipulate prices.
They aren't allowed to do that, but Davis was in a war with the power companies and he felt it was necessary to use the tactics he was accusing them of.
To nobody's surprise, government bureaucrats aren't very shrewd when it comes to the markets, and they shot themselves in the foot several times. There was a story here last week about Cal-ISO demanding more power than it really needed just to make sure that the power companies could deliver it. When they acquired it, they then sold it for a huge loss out of state. Brilliant.