Powerex Takes No Blame For California Market


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Powerex, the power marketing subsidiary for BC Hydro, made public its contention that the allegations made by California parties are based on the political agenda of the California Governor, not the realities of the California energy crisis.

Formal rebuttal evidence by Powerex will be filed on March 20, 2003 with the U.S. Federal Energy Regulatory Commission (FERC).

"We refuse to be a scapegoat for the California Attorney GeneralÂ’s desperate attempts to blame someone else for their own problem," said PowerexÂ’s Vice-president of Marketing and Trade Policy, Doug Little. "As we stated in our March 3, 2003 filing, CaliforniaÂ’s market design had significant flaws that were unable to cope with the "Perfect Storm" of water shortage, high gas costs and high demand for electricity. That is what caused the problems in 2000/2001, not any wrongdoing by Powerex, and our March 20, 2003 response will once again make that strikingly clear."

The CAISO (California Independent System Operator) and CalPX (California Power Exchange) market monitoring and compliance units, exercising authority delegated by the FERC, reviewed Powerex's actions and made no determinations of impropriety.

Little concluded: "California made a mess of its electricity market, missed many opportunities to take decisive remedial action and is now blaming all other market participants for the results. We are confident that in the final analysis Powerex will be exonerated."

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