"Paul M. Eldridge" wrote in message
...
Hi Mike,

At this stage you've already taken the big hit in terms of your rate
adjustment. Unfortunately, this is what happens when regulators lock
prices at artificially low levels for, what was it? Ten years?

When you don't pay the true cost, consumers will use far more
electricity than they would otherwise and will logically forego
investments in energy conservation and more efficient end-use
technologies such as heat pumps. And who can blame them? It's the
perfectly rational thing to do.

But now the ride has come to an end and consumers are faced with the
new reality. Hopefully most have prepared for this day, but for those
who haven't, the pain has only begun.

Please keep us informed of your progress and, by all means, let me
know if I can help you in any way.

Paul, Thank you much for you useful comments. I will keep the group
informed. Also, I've learned alot. Today I was talking some buddies about
HPs. Apparently, they have improved quite a bit over the last few years.


Electric - BGE and Constellation Energy made very substanial profits even
though the rates were frozen since 1999. BGE, when regulated produced
reliable power and always paid dividends to its stock holders. It was a
stock many conservative investors owned. Then Enron and others lobbied
(bought) the local polictioans in Annapolis and after power producers were
decoupled from the power transmitters
and the rates were deregulated resulting in the maintenance of the grid
going to pot and the rates are in a continuous
upward spiral. The local power grids were not designed to import power from
other areas thus they are
overstressed and are facing premature failure. Of course there is no method
to store electric so it is not
a commodity that be stored 'til it's needed. In some areas transmissions
costs are approaching
electric rates in some deregulated markets. I don't know of anybody who has
saved a nickel in rates when
switching to deregulated electric power. Sorry I digress. It just really
****es me off. I'm a free market guy when it serves a purpose. BTW, A
large energy intensive business just left Maryland and moved to state w/
regulated electric because it was no longer profitable using overpriced
deregulated energy. Most states who had been moving to deregualtion no
longer are because they're a seeing the profound impact it has.

Mike