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Mass. (AG) proposes fining utility NStar almost $10M
The Republican ^

Posted on 08/08/2012 10:16:32 AM PDT by matt04

The Massachusetts attorney general is seeking a nearly $10 million in fines from electric utility NStar for what she calls "inadequate" responses to two major storms last year that left hundreds of thousands of customers without power, some for days.

Attorney General Martha Coakley's office made the recommendation in a brief filed Tuesday with the Department of Public Utilities, which has the authority to impose the fine.

The attorney general says NStar failed to properly anticipate the severity of Tropical Storm Irene in August and a late October snow storm; failed to communicate effectively with customers and government officials; and failing to respond to calls about downed wires.

If granted, the fines cannot be passed on to customers.

NStar responded by saying it complied with a state-approved storm response plan.


TOPICS: Business/Economy; Government; News/Current Events; US: Massachusetts
KEYWORDS: marthacoakley; nstar; utilities
Martha, can you tell me how taking 10 million from NStar and putting it in the state treasury will somehow improve electric grid reliability, beside increased rates.
1 posted on 08/08/2012 10:16:42 AM PDT by matt04
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To: matt04
If granted, the fines cannot be passed on to customers.

Great, so NStar will cut back on service to make up the difference or maybe Martha can play Wichita Lineman the next time there's a big storm

2 posted on 08/08/2012 10:20:27 AM PDT by AU72
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To: AU72
The money is supposed to come out of the share holders’ hides, not the rate payers’.

Nstar responded in part by claiming, plausibly, that they were being held to nonexistent standards. Utilities do not come with a satisfaction guaranteed contract.

I remember when those ceiling tiles fell in the Big Dig tunnel killing an Ecuadorian woman. Marsha Chokely got a $500,000 fine from the company that sold the contractor the adhesive, even though they clearly warned them that is was a temporary adhesive. The product they sold was neither defective, nor improperly labeled nor did the vendor make any misrepresentations whatsoever. I'm sure the insurance company's lawyers told them to just pay up to avoid a court case where a John Edwards jury might award unlimited amounts.

3 posted on 08/08/2012 11:00:00 AM PDT by Lonesome in Massachussets (The Democratic Party strongly supports full civil rights for necro-Americans!)
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To: matt04

Hey Martha!

How about suing the EPA and the Public Utilities Commission, who Regulated the crap out of NStar’s ability to build back up facilities, or charge rates sufficient to staff for such contingencies?!?!


4 posted on 08/08/2012 11:16:08 AM PDT by G Larry (Progressives are Regressive because their objectives devolve to the lowest common denominator.)
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To: matt04

NStar needs to take out a full page ad to explain the facts to this political hack.


5 posted on 08/08/2012 11:18:22 AM PDT by G Larry (Progressives are Regressive because their objectives devolve to the lowest common denominator.)
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To: Lonesome in Massachussets
The money is supposed to come out of the share holders’ hides, not the rate payers’.

This will have the effect of diluting the value of utility equities as these gubmit holdups will have to be accounted for. Similar to John Edwards running OBGYN physicians out of NC.

6 posted on 08/08/2012 12:36:17 PM PDT by AU72
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