Actually, properly created and implemented CWIP rules could actually be a win-win. Think about it. Which would you prefer:

Without CWIP, Ameren spends $6B on Callaway II, and in 2015 when it goes commercial comes to the PSC and asks for a 50% rate hike to pay off the loans they’ve taken out to build the thing. Consider that if CWIP doesn’t pass, that capitalization they’re going to ask to be covered will include a whole lot of capitalized loan money that they couldn’t pay on till then. Also consider that if the PSC in that future date doesn’t grant that one shot rate relief, that Ameren could well go bankrupt. Then what?

Or, with a properly created CWIP, they get gradual rate relief to pay as they go, and wind up borrowing LESS than otherwise.

IT’s kind of like the old Fram commercials: pay me now or pay me later. Remember, the ONLY source of income they have to pay for large capital expenses is the rate base. Either way, the customers are going to pay for the construction. Which is a smarter way to go?

The smarter way is to keep risk apportioned to the shareholders as was decided by the voters when the anti-CWIP statute was passed. If we have to pay any old cost for any old expense Ameren shoves down our throats, there’s absolutley no incentive to mangae well or keep costs down. We know UE didn’t do it before, the PSC wrote UE the riot act when it disallowed nearly $250 million in canceled plant costs related to Callaway II (the same plant the same people now want us to pay for up front).

The reason private markets won’t pay for nuclear power plants is they are seen as a riky investment. No such plants have been built in 30 years. Ameren UE chose Missouri to break down the wall of consumer protection because of its ownership of the General Assembly and the perception that Gov. Nixon will go along. WE don’t need another nuclear plant in Missouri, period. The shills that troop out plans for a new nuclear plant use the same discredited models for future power consumption as were used by UE in deciding to build Callaway II, and they were wrong. Therer are many ways to conserve power which other companies implem,ented 20-30 years ago that UE and AmerenUE just don’t care to look at in their thirst for a new nuclear plant.

But, if a plant is built and put on line, there is no reason any related costs could not be phased-in for rates for consumer protection while compensating shareholders for their investment. As a spokesman and member of the board of the Missouri Public Interest Research Group (MoPIRG), that is what we urged the PSC to do , and they did it.

WE don’t need to repeal the anti-CWIP statute, we need fewer wholly owned AmerenUE members of the General Assembly. Leave the anti-CWIP statute alone!

Tim Hogan, why are you even living here? Does Capitalism offend you that much? Be honest, are you wanting Socialism that bad?

To Subparknave,

When capitalism involves the buying and selling of your (and my) representatives in the legislature for the purely profit motives of private industry then it needs to be reined in by regulation. This was done with the anti-CWIP statute, which the voters passed. If the voters passed it then let the VOTERS repeal it, the legislature should not meddle in actions taken by DIRECT DEMOCRACY. Capitalism and democracy are not synonyms despite the ignorant opinions of conservatives to the contrary.

hs, has it right, payem now or payem later. Your choice.

Tim Hogan & Rich Brown - You guys are right on!

Herald,

I agree we will see who owns them. As of last week in our Republican dominated House and Senate ALL Republicans were for repealing the CWIP law and allowing AmerenUE to do as they please. ALL Republicans except one, Jason Crowell is holding out. He stood for 8 hours last week making his point and has been called names, critized, accused of being paid off, etc. from his Republican buddies. How dare he stand up for what is right and not go along with his party of croonies looking out for themselves.

Way to go Jason, a Republican with a back bone! Now that is a rare occassion that we should all celebrate.

Why are all the Republicans for repealing a law that protects consumers and citizens in this state from the Utility Companies that want to pass the costs on to us? There can be only one answer!

Why are ALL Democrats(the minority) againist repealing this law? Because they care about the citizens in this state and are fighting for them. They are not paid off by utilities.

Republicans will get their way and repeal the law. At least we have Governor Jay Nixon to veto it. If we still had “I am resigning because I have accomplished everything I set out to do” MATT BLUNT, you better believe this law would be appealed tomorrow. AmerenUE would start on their 2nd nuclear power plant having the consumers paying the bill.

The Republicans in our state our destroying our constitution, consumer rights, and changing the “Missouri Plan” in how we appoint judges in this state. Those giving Republicans have given in to allow “Early Voting” in this state only if they can tack on their Photo ID requirement to vote. How generous can they be! Robin Carnahan has been trying to get our state to go with “Early Voting” along with the 34 other states that allow it.
Not going to happen in Missouri unless we give the Republicans “their way or the highway” with Photo ID requirements.

We currently only have “Absentie Voting” in this state. This requires a legitamate excuse, like you will be out of town on election day, or your hours at your job do not allow you time to vote, etc.

“Early Voting” allows any registered voter to vote early at designated locations across the state. This works for the physically handicapped citizens who have trouble finding a ride on election day but could get a ride easier prior to election day. How about citizens who just want to avoid the crowds? 34 states in this country allow “Early Voting”. Robin Carnahan is trying but gets no where with the republicans in this state who must attach another one of their stipulations into the ring or they will not give in. Are these Republicans actually grown adults or spoiled brats that must have their way?

Hats off to Jason Crowell! Hold your ground and do not give in! Fight for you constiuents and do the right thing!

wimperingdave, once again you prove the lack of substance on the far right wing neocon Brown Shirt weblog echochambering yobbo yapper facsist corporatist side of any argument, you resort to name calling!

Oooh, I’m so hurt! Wimperingdave called me a “socialist” without even knowing what the word means! C’mon wimperingdave, define “socialist” and demonstrate how such applies to the status quo of monopoly electrical utility rate regulation and cost recovery practices as they effect Ameren UE customers now and after the GOP corporate welfarists repeal the anti-CWIP statute? Cat got your tongue, or is that your face turning red from, once again, being called on your fascist corporatist BS?

Utilities are regulated, nimnuts! That’s because they are granted monopoly status in their service areas, which is per se NOT capitalism.