Tuesday, February 26, 2008

PSC Allows You to Weigh in on Iberdrola.

The New York State Public Service Commission (PSC) seeks public comment on whether Iberdrola S.A. should acquire Energy East, the parent company of New York State electric & Gas (NYSEG) and Rochester Gas & Electric Corporation (RG&E)

Iberdrola is the owner of the proposed Jordanville wind farm. Perhaps the best argument against Iberdrola's proposed acquisition, is the PSC's own reluctance to allow a single company to own both the means of generation (Jordanville) and transmission of electricity. The reason, of course, is fear of monopoly control. A further cause of concern is the fact that NYMO is already owned by National Grid, a foreign-owned corporation. If Iberdrola acquires NYSEG, much of NYS's transmission capacity will be owned by foreign interests. If this is further complicated by foreign ownership of generating capacity, as well, we would have legitimate concern over to what degree the interests of these corporations will correspond to the interest of NYS consumers. We should also ask to what degree these corporations will be answerable for their policies if they should not correspond to local needs?

Interestingly, comment already received - largely from public agencies, private corporations and public interest groups - is divided as to whether the proposal will encourage or discourage wind energy development.

The PSC itself states "it would discourage wind energy investments unless the PSC bars the companies from owning generating plants in New York…"

So the question might be why does Iberdrola want to own both generating and transmission capacity?


Writing: Jaclyn A. Brilling, Secretary, Public Service Commission, 3 Empire State Plaza, Albany, NY 12223-1350. Refer to Case 07-M-0906-Iberdroler Merger.

Toll-Free: Opinion Line at 1-800-335-2120.

Internet: Via the "PSC Comment Form, in the "Consumer Assistance" file accessed through the website: www.dps.state.ny.us.

DEADLINE for all comments is March 31, 2008.

Voice Your Choice Say NO to Overhead Power Lines

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