For those who have not been paying close attention, Southern California Edison has been changing out the mechanical meters they have used for years…..for digital.
We had a feeling that after the installation process was complete, electricity rates were going to move up smartly. Calling our very professional Southern California Edison Service Representative, she assured us that “rates will remain the same”. That was in early June. Yesterday, it was revealed that rates in fact will be going up to pay for the $1.6 Billion dollar investment in over 5 million homes and small businesses under 50,000 sq.ft. So just about everyone will have the new, improved: “Electric Monitoring Devices”! They also, will be paying for that technology! Just how much does each EMD cost to buy and install? Hard to get those facts.
In our conversation with our SCE Customer Service Representative, we mentioned in passing that Pacific Gas and Electric in San Diego County is fighting a serious Class Action suit for “over-charging” their customers, after the installation of the new EMD’s. PG&E also, monitors the natural gas usage as well – and the complaints on those readings have also become a prime factor in the Class Action lawsuit. The SCE Rep said, she was aware of that and mentioned that she expected no such action here in SCE country.
We couldn’t help but ask: “What about those great guys and ladies that read the old meters?” – They, are being laid-off or re-assigned. The monitoring can now be done “remotely”, from the main Power Grid at SCE. The ubiquitous “Meter People” have been relegated to that of a turn of century “Chimney Sweep”- a sad tale of the past. The few employees that they will keep will no doubt be checking on the “big businesses and users” that receive a reduced bulk rate. The reality is, that when SCE or PG&E go to the Public Utilities Commission the next time, to plead their case for Electricity Rate Hikes…maybe they will explain, if the current customers are paying for the new EMD’s and they have saved untold labor dollars – “Why do you need another increase?”
Philosophically, “The Smartest Guys in the Room”, the story of Enron does not need to be repeated in even a minicule sense. Market Rates for Electricity is an unsustainable concept. The poor, the retired and new families can’t afford those triple digit monthly electrical rates. The PUC is supposed to be there to protect us from egregious attacks on consumers by the Power Companies, Oil Companies and Bureaucrats. Sadly, they have not been doing a “bang-up” job of following their mission statement. Just one question: What would Thomas Alva Edision do?
Hey, one thing is for sure: Edison is a very responsible provider of Electrical Power to California citizens. Thank you SCE for doing a wonderful job of keeping the lights on….for over 100 years! We certainly aren’t ready to return to the days of oil lamps and candles to do our reading by. We do want you to make a solid living for the people you employ. We do want you, to make a fair profit from your investment in infrastructure and expanding new technology.
However, whoever might become Governor of California next year, better be prepared to keep the price of electricity low and affordable, in order to attract new businesses and jobs to the state. SCE, you and PG&E will need to become team members in this endeavor. Executive Compensation and payouts to stock holders may have to be pared back for a few years, until business and jobs come back to the Golden State! The Legislature also has a hand in adding needless Regulations which may increase electrical rates,and they need to take a more Conservative Approach on Emission Regulations – which otherwise can, by unintended consequence, add sizeable costs to providing Power to the People!
This is the same company that spends lots of money for those self-serving ads on t.v. showing one of their maintenance trucks driving down a desert road while we hear about how they are taking care of us and have been trusted for over 100 years. This is the same company in which management was caught cooking the books so they would be paid bonuses, – with money that came from rate payers. This is the same company that hires former politicians to give them a cushy soft landing in some meaningless administrative position as payback for favorable votes and influence while in office. This is the same company that is politically active with organizations such as the Orange County Forum and the Orange County Taxpayers Association in order to promote and exploit political connections. I don’t trust them for 1 minute, much less 100 years. They are worse than a government organization. Give me a break.
The main purpose of the new meters is “Social Engineering” by setting different rates for different times of the day to enourage you to change your behavior. For example, you’ll pay more to run your appliances during the day than at night. This is more subtle than the water police but probably more effective. I wonder what the rate will be for folks selling excess solar power back to them?
Perfectly reasonable even if we want to call it a scary name like “social engineering.” And whether it comes from a private company like SCE or the government. Correct me if I’m wrong, but isn’t it more cost-effective for SCE to provide some power to folks using their appliances at night and some in the day, versus a shitload of power in the day and then not much at night? A believer in free markets such as yourself shouldn’t find a problem with that, and neither does an environmentalist like me.
*As usual, our fearless editor is always willing to raise his skirt for a solid bureaucrat. Larry and Fool me……”Believe but verify!” is far superior strategy than charging a single mom for doing her laundry during the day….when she has to work nights at a restaurant to keep food
in her children’s mouths. The truth is: We are now at the mercy of those doing business as a Public Energy Provider. They can manipulate “digital equipment” with impunity. You will pay what they want…whether you are using that electricity or not. PG&E did it….first. Who knows who will be next! They blamed Enron the last time…who else could they blame if they really set
their minds to it?
“Raise his skirts?” You two are gross and weird. Anyway I was talking to Larry Morrissey, I haven’t read your article yet.
Vern,
Where have you seen a “free market”? When I see evidence of God, the Tooth Fairy and Free Markets, I’ll let everyone know.
Touché. But still, what is wrong with a company trying to motivate its customers to purchase its products in a way that’s more efficient and cost-effective for the company? (Aside from being better for society in general, e.g. preventing shortages & blackouts…)
(can’t believe I’m sticking up for SCE. The curse of the devil’s advocate…)
*All concerned:
Electricity, Natural Gas, Water, Garbage Collection and Roads are all considered to be
“Basic Necessities”! In that regard, it has been important to Regulate and Price Control
these items, to be sure that “the people” will be able to afford them. Strictly, Market Based Price Systems for these items….probably won’t work….ever! Not without disenfranchising
the most succeptible in our society!
Enron, even thought that “Broadband”, which is now of course…soon to be considered
another “Basic Necessity” could be sold on the open market – thusly, knocking everyone
but the most rich in our society with that service. Thank Goodness, Organizations like EFF and others want “Net Neutrality” to continue availability of Blogs like this to everyone, not
just those that ISP’s want to give the highest bidder. The Reason Foundation has been
the prime proponent of Market Strategies for “Basic Necessities”. Remember when the
Tom Reilly years of OC Supervisors, when they wanted to charge people for getting in
their cars….and taxing them for each mile driven? Basic Gasoline and Diesel Fuel Costs
are supposed to be “Market Driven”….but because we are thought to have “no control”
over the Global supply and demand there are spikes and very seldom any decline in pricing.
When we did: Gasoline was 19 cents a gallon in 1947!
Using the Enron and the Reason Foundation philosophy for pricing “Basic Necessities”
goes against every Social Contract developed by man, since the Dark Ages! Going back
to the days Castles, Kings and Serfs…….it is probably not in the best interest of the people
of Orange County! But then there is always “Solent Green”….but that is another story!
Rona and Anna – it’s Tom Riley, the late Marine Corps General, former Fifth District County Supervisor. (Just to be politically correct)
*Blame on the O’Reilly Factor! Thanks, you are quite right – of course!
rw