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Resource ID: #17631
Subject: Utilities
Source: The Progressive
Affiliation: 
Date: March

Description

The Progressive looks at the deregulation of the energy sector in California, that has caused blackouts and soaring electricity bills. The report examines the possible solutions to the energy crisis. It details the negative effects of the so-called split system, under which "one group of companies generates business; the other group buys power and delivers it." The story then describes the resulting paradox: "...While one arm of each corporation suffered, another posted record profits." The investigation depicts the battle on the "bailout that California has virtually promised to the utilities," and shows how state legislature continues to back the interests of the utility lobby, while "taxpayers are just throwing their money down the drain." The reporter also looks at some little-noticed consequences of the deregulation law - "a near-collapse of energy conservation programs" and "deterioration of environmental regulations."

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