Power rates to continue decreasing
Richard Brown says electricity rates are locked in for five years and will not be affected by what is happening on the international scene.
Beginning this March, electricity rates will fall by 14 per cent across all rate categories. That will save Islanders $25 million annually for the next two years for a total savings of $50 million.
Rates are expected to be tied to the rate of inflation in years three, four and five of the five-year deal.
But while world oil prices may not affect electricity prices, it will affect the regulated price of gas on the Island which will be adjusted.
Oil closed at nearly $98 a barrel in New York on February 25, down from $103.
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Was there another reason for electricity shutdowns in California?
SAN FRANCISCO - According to the official, widely reported story, Pacific Gas & Electric (PG&E) shut down substantial portions of its electric transmission system in northern California as a precautionary measure.
Citing high wind speeds they described as “historic,” the utility claims that if it didn’t turn off the grid, wind-caused damage to its infrastructure could start more wildfires.
Perhaps that’s true. Perhaps. This tale presumes that the folks who designed and maintain PG&E’s transmission system are unaware of or ignored the need to design it to withstand severe weather events, and that the Federal Energy Regulatory Commission (FERC) and North American…
