The Dulaney Case
Caught in the Act, but saved by the Commissioners
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This is a bit complicated, and I do not have links to prove everything, but these are the facts as I understand them. You will have to
take all this as my personal opinion till more information is brought to light. Send corrections to energyprobe@pandemonia.net If
you think I have made serious mistakes.
 
The case began when an industry in South Louisiana challenged a utility on the AVOIDED COST amount they were being paid. If a facto-
ry generates extra power, the utility is obligated to buy that power at their AVOIDED COST . In the course of the investigation, the attor-
neys learned that Entergy was selling their power to the power pool. The pool is were generators put extra electricity so it can be pur-
chased by other utilities when they can not meet demand. Pool, or PURCHASED POWER is sold at the highest market price. Entergy was
then repurchasing the power from the pool, and passing the increased cost along to consumers in the FUEL ADJUSTMENT SURCHARGE.
 
When the attorneys initially approached the utility commission, the commissioners said it was not happening. When the attorneys pre-
sented proof, the commissioners said that they were investigating, and not to interfere. When in the course of the other case, the facts
were proven in court, the utility commissioners used their Judge (yes they do have a judge that works for and under the direction of
the Public Service Commission) to send a VERY CLEAR MESSAGE that there had to be an out of court settlement. I have been told that the
commissioners actually sat on the bench with the judge.
 
In the out of court settlement, Entergy agreed to refund a $71 Million to Louisiana customers, but admitted no wrong doing.
[7.4.1]http://www.findarticles.com/cf_0/m4PRN/2000_Oct_19/66204054/p1/article.jhtml?term=%22Entergy+Louisiana+Reaches+Set
tlement+Agreement+on+Fuel+Issues%22
They allegedly also agreed to purchase only power generated by their regulated utilities, not
their unregulated ones. The electrons that make electricity do not have a tag that gives their place of origin! Entergy has regulated gen-
eration facilities in markets where much higher prices are allowed, notably in the Northeast. After the settlement was reached, the
Public Service commission PLACED A GAG ORDER, on the parties, including the attorneys who found the wrongdoing. I have been
told by authoritative sources, that the practice still continues.
 
We will not know the whole story unless the gag order is lifted, and the parties involved are protected from discrimination before the
commission controlled judge. The attorneys involved will not tell me anything! The information I have gotten came from people
involved prior to the gag order and not covered by it. Took me 18 months to find them. I will have more documentation in a few days.
 
Based on what I have learned by hard labor, the existing commission members, including and led by Blossman and Owen, did every-
thing they could to protect the utility company. They had the unfair practices clearly explained and proven, yet took steps to see that
the public never heard about them. This, and the fact that 1/3 of my bill is now the FUEL ADJUSTMENT SURCHARGE convinces me that the
practice continues. You can also look at the PURCHASED POWER figures on the Entergy corporate reports
[7.6.1]http://www.entergy.com/01ar/01csi.pdf . Add to that, the fact that we pay the highest average residential monthly bills in the
lower 48 states,[7.6.2] http://www.eia.doe.gov/cneaf/electricity/esr/esrt01p1.html and that our industrial rate is higher than 36 other
states[7.6.3] http://www.eia.doe.gov/cneaf/electricity/esr/esrt01p3.html and the picture becomes even clearer. The FUEL ADJUSTMENT
SURCHARGE
is really a PROFIT ADJUSTMENT SURCHARGE!!!
Bought Blossman and Owned Owen work for the Utilities, not the people of Louisiana.
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