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Entergy: any pique that fits

by: BP

Wed Sep 01, 2010 at 07:30:00 AM EDT


 Rumors started last week that Entergy may be putting Vermont Yankee out for sale. An energy trade publication carried the story but Entergy has had no comment.
Now the Rutland Herald reports Entergy and one other company (not named) tried to pull out mid way through a power contract auction run by ISO the operator of the New England power grid.  
ISO-New England Inc. held the auction. ISO spokeswoman Ellen Foley said that Entergy Nuclear participated until the fifth round of the auction and then requested to “delist,” or pull out of the auction, a move which was denied by ISO-New England, citing grid reliability concerns.  

The auction was held Aug. 2 and 3, and Entergy’s request came on Aug. 2, Foley said. Entergy did not request in advance to pull out of the auction, she said. By law, every power generator must participate in such power capacity auctions.

Vermont Department of Public Service David O’Brien’s reaction is notable.

O’Brien, Vermont’s advocate for the people of the state of Vermont in these matters didn’t ask why Entergy attempted to withdraw from the auction. Rather than find out the facts or an explanation for Entergy’s behavior he simply brushed aside the question and raised fears of reliability.  

David O’Brien, commissioner of the Department of Public Service, said he did not ask Entergy why it tried to withdraw from the auction. But he said the more important issue was what the loss of Vermont Yankee would have on the New England power grid.
BP :: Entergy: any pique that fits
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Raise Your Voice!
Query (0.00 / 0)
Is O'Brien's charge really to deal with anything other than reliability in this case?  Granted he's a Doesless appointee and pro-VY, so has an agenda, but it is a legitimate, perhaps overriding concern that if a large generator were gone, that could cause serious grid problems.  I'd think that's a legitimate focus at the outset, even if DPS is supposed to also inform the public about utility issues.

As an aside, I think it's funny that his about page on the DPS site still touts the Great Broadband Plan to have high-speed everywhere by the end of 2010.  How's that working out for ya?

We're hopefully getting WiMax this afternoon, finally.  From GlobalNet.  Fairpoint sent me a candidate info letter a few weeks ago promising broadband everywhere by 2011, and Shumlin's plan is by the end of 2012, IIRC.

Oy.  It shouldn't be this hard, especially if we want Vermont to be competitive.  Same goes for sustainable energy investments.  You want a jobs program...?

Become a fan of our grassroots campaign on Facebook: http://www.facebook.com/todd4v...


Red Herring (4.00 / 2)
The red herring run this year is especially vibrant. I guess they think we're going to stand there with our little fishing nets trying to catch them all, instead of ignoring them as we should.

Yankee is offline 12% of the time, on average, in any given year. If the loss of their power were a grid stability issue, then the grid would choke 1/8 of the time - we'd experience brownouts and rolling blackouts every time they powered down for whatever maintenance, etc. they needed to do. Since this doesn't happen, it's clear they're full of something bulls produce in great, stinky, heaping quantity Cow Power.

This appears to be another classic FUD attempt by the republican machine Entergy's toadies those who want to scare the public and the legislature and/or give the next governor cover for renewing VY's license despite the overwhelming public pressure to close the poorly-run, unsafe, aging plant.

And if the sale rumor is true, you can rest assured that the "buyer" will likely be nothing more than another empty shell corporation whose sole reason for existence will be to absorb the liabilities for shutdown, then go bankrupt leaving Vermonters with the bill. The only likely difference between the new "buyer" and Enexus will be the name of the entity that creates it.

These guys seem to set new records for transparent attempts at bamboozling the gullible every news cycle.

Beware the Everyday Brutality of the Averted Gaze


[ Parent ]
unless (3.00 / 1)
I am mistaken, the plant cannot be sold unless the buyer gets a Certificate of Public Good (CPG) from the Public Service Board (as Entergy was required to do)

if they try this, it presents an opportunity for the PSB to add new / expanded conditions to the CPG

I would be shocked if Entergy was allowed a simple handoff to a dummy corporation


[ Parent ]
I'd be shocked, too (0.00 / 0)
But then, I'm also shocked at the how poorly the plant is run and maintained.

If the sale rumor is true, we all know that there is NO legitimate buyer who would consider purchasing a plant that would have to be taken offline before the ink is dry on the sales agreement - creating not a single penny in income before becoming 100% expense. Thus the only possible buyer would have to intend to fail (if a name is announced, be sure to see who's shorting the stock). Unless, of course, Entergy and its backers can somehow scare the legislature and new Governor into renewing their license post-2012....

Beware the Everyday Brutality of the Averted Gaze


[ Parent ]
Doug is correct (0.00 / 0)

The PSB would have to hold extensive hearings. The process would likely take from six to eighteen months. Many groups would want to be intervenors in the process. It is unlikely that a sale could go through before the license expires in March, 2012.

The PSB is still faced with false testimony from Entergy's license extension request, and any evidence give by the prevaricators is subject to challenge.

And the buyer would have to get approval form the Legislature for operation after the license expiration date.


[ Parent ]
Represent the public interest (4.00 / 2)
The DPS has a broad charge and is supposed to represent the public interest.  Under Douglas/Dubie/O'Brien, it has done little in that regard.

From the DPS website:

The Department of Public Service is an agency within the executive branch of Vermont state government. Its charge is to represent the public interest in matters regarding energy, telecommunications, water and wastewater. The Department carries out this charge by:

   * Representing the public interest in utility cases before the Public Service Board, federal regulatory agencies, and state and federal courts.
   * Providing long range planning for the state's energy and telecommunications needs through the Vermont Electric Plan and the Comprehensive Energy Plan.
   * Ensuring all Vermonters share in the benefits of modern communications through the Vermont Telecommunications Plan
   * Promoting energy efficiency.
   * Administering federal energy programs.
   * Resolving utility customer complaints.
   * Informing the public about utility-related matters.
   * Making and administering contracts for the purchase of power on behalf of the state.

As the public's advocate, the Department is a separate agency from the Vermont Public Service Board, which serves as the quasi-judicial or decision-making authority in utility regulatory cases.



[ Parent ]
Yes, I understand (0.00 / 0)
"The DPS has a broad charge and is supposed to represent the public interest."

My question is does the omission of a question some of us might ask really something to be overly concerned about if he sees his primary charge as making sure electricity is delivered reliably?  If it's something to look into, aren't there other people at DPS who should be investigating?

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[ Parent ]
Question (0.00 / 0)
Forgive my cluelessness. Did I miss something? If ISO is making these claims, what's their motive? Although it does look sketchy, I simply am unable to connect the dots.  

Good question (0.00 / 0)
The first rule is "follow the money." Here are the board ISO New England's board members:

Vincent M. O'Reilly
David J. Vitale  
Gordon van Welie
Roberta S. Brown
Kathryn J. Jackson
John G. Kassakian
Alvin K. Klevorick
Richard E. Kessel
Paul F. Levy
V. Louise McCarren

How much, if anything, do they have invested in Entergy?
Even without direct investment, the nuclear industry, in particular, is a "small world" - everyone tends to know and be friends with everyone else, and they all tend to dance to the same fiddle.  

Beware the Everyday Brutality of the Averted Gaze


[ Parent ]
Many thanks (0.00 / 0)
I was afraid to ask the question, imagining a sea of eyerolling, headshaking, incredulous looks & facepalms from the vaunted intelligencia.

Perhaps this did happen, however @ least my query deemed worthy by someone. ;D

I know nothing about the roster listed.

I love your 'line'.


[ Parent ]
VY Audit Report Out 3 years later (4.00 / 1)
Did anyone notice this piece from Wednesday's Free Press Buried on an inside page, 1 column; emphases added:

An audit released Tuesday concludes that Vermont should more closely monitor the Vermont Yankee nuclear power plant's eventual decommissioning costs and the funds its owner has set aside to pay for them.

Entergy Corp., owner of the Vernon power plant, is required to report to the state every five years how much cleanup of the site would cost when the plant closes, how much money is available and how the company will make up the difference. The report from state Auditor Tom Salmon's office, said that should happen every 2 1/2 years, or more frequently if there is significant turmoil in the financial markets.

Legislators asked for the audit in 2007 amid concerns that the decommissioning fund would be inadequate. The fund had $428 million as of Dec. 31. Decommissioning is estimated to cost close to $1 billion.

There's more. Go read it. This is what Maggie Gundersen and Doug Hoffer have been talking about.

This should make Ol' Tom (that is, young Tom, not his dad)  a lock for the GMD award named after him.

NanuqFC
If nuclear power plants are safe, let the commercial insurance industry insure them. Until these most expert judges of risk are willing to gamble with their money, I'm not willing to gamble with the health and safety of my family. ~ Donna Reed


a longer piece (4.00 / 1)
in today's utland Herald

http://www.rutlandherald.com/a...

in my view, the report is less than meets the eye and I will have something to say about it next week


[ Parent ]
obviously (4.00 / 3)
that's the Rutland Herald

it is interesting that the Entergy spokesperson "said the company couldn't comment on the report until after they have reviewed it" because the company HAS reviewed it; indeed, the report includes a six-page letter with the company's response to the review


[ Parent ]
Thanks Doug. (4.00 / 1)

I'm puzzled as to why you'd wait until next week to have something to say about this. Strike while the iron is hot. With Labor day coming, this issue begs for your analysis and rebuttal sooner rather than later. People have to start hearing and seeing your name more loudly and frequently.

It's good to start seeing some "Doug Hoffer" signs popping up around the area.

Is there anything I can do besides donate money (that I don't have) to help your campaign?


[ Parent ]

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