Should all utilities be publicly owned and controlled?

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So

Lifer
Jul 2, 2001
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Originally posted by: UCDAggies
Originally posted by: JS80
Originally posted by: UCDAggies
Bid difference in using ED on a small mom and pop, and on a big corporation. The corporation shouldn't have any rights to that land, even if they paid for it. Remember they are big and rich, and probably stole the land from a mom and pop shop.

Did you just take Marxism 101 at UC Davis?

Soviet Russia fell. Communism doesn't work.

As is, the utility companies might as well be government entities - they are highly regulated and have caps on profit margins. If you want cheaper energy, you need to deregulate and promote more power plants (including nuclear) so they can fight each other for business. Why don't we do this now? Hippies. Fvcking hippies.

This isn't communism. Some things should be own by private companies, such as toy companies, but electricity, gas, water, food, and other necessities shouldn't be private.

Communal ownership of resources if the very definition of communism.
 

JS80

Lifer
Oct 24, 2005
26,271
7
81
Originally posted by: UCDAggies
Originally posted by: JS80
Originally posted by: UCDAggies
Bid difference in using ED on a small mom and pop, and on a big corporation. The corporation shouldn't have any rights to that land, even if they paid for it. Remember they are big and rich, and probably stole the land from a mom and pop shop.

Did you just take Marxism 101 at UC Davis?

Soviet Russia fell. Communism doesn't work.

As is, the utility companies might as well be government entities - they are highly regulated and have caps on profit margins. If you want cheaper energy, you need to deregulate and promote more power plants (including nuclear) so they can fight each other for business. Why don't we do this now? Hippies. Fvcking hippies.

This isn't communism. Some things should be own by private companies, such as toy companies, but electricity, gas, water, food, and other necessities shouldn't be private.

electricity, gas, water, food,............then driving, CO2 emitting, housing, travel, entertainment, drinking, breathing, shvtting, pissing, living...

like i said, for public utilities, they are SO heavily regulated, they might as well be government entities.

The irony is that if they were true free market non-monopoly utilities, i would bet water and power would be half as cheap as they are now and emit 10x less pollutants.
 

dullard

Elite Member
May 21, 2001
26,048
4,695
126
Originally posted by: So
Communal ownership of resources if the very definition of communism.
Communal ownership of resources is also the very definition of a co-op. The line is very blurred between many people getting together and privately controlling something and many people getting together forming a government to control something. The co-ops around here tend to have very low utility prices.
 

UCDAggies

Member
Apr 4, 2007
148
0
0
Originally posted by: dullard
Originally posted by: So
Communal ownership of resources if the very definition of communism.
Communal ownership of resources is also the very definition of a co-op. The line is very blurred between many people getting together and privately controlling something and many people getting together forming a government to control something. The co-ops around here tend to have very low utility prices.

Co-Ops aren't the same as what I am advocating which is a Municipality. Co-Ops only members can vote, but in a Municipality all people can vote.
 

So

Lifer
Jul 2, 2001
25,923
17
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Originally posted by: dullard
Originally posted by: So
Communal ownership of resources if the very definition of communism.
Communal ownership of resources is also the very definition of a co-op. The line is very blurred between many people getting together and privately controlling something and many people getting together forming a government to control something. The co-ops around here tend to have very low utility prices.

I have no problem with a co-op. If a bunch of people want to band together and try it on their own that's fine. That's the most fundamental part about economic freedom. It's also very different from what is being proposed here. VERY different.
 

DaWhim

Lifer
Feb 3, 2003
12,985
1
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what the hell? is OP dumb or something? competition will work itself. please educate yourself and take a look at the giant monopoly called ATT. check out what happened to them after the phone industry had been deregulated.
 

dullard

Elite Member
May 21, 2001
26,048
4,695
126
Originally posted by: So
I have no problem with a co-op. If a bunch of people want to band together and try it on their own that's fine. That's the most fundamental part about economic freedom. It's also very different from what is being proposed here. VERY different.
What the OP suggested really has a lot of problems. Forced takeovers by the government isn't something that I'd advocate. So yes, that is very different.

But to lump all communal control into communism is wrong. And to define all communal control as bad (when you were dissing government control earlier) is also wrong.

 

UCDAggies

Member
Apr 4, 2007
148
0
0
Sad thing is, people around here tried to do it. But PG&E spent close to 15 million dollars on a campaign of lies and the measure to use ED to seize controle of PG&E assets was defeated. Sad indeed.
 

So

Lifer
Jul 2, 2001
25,923
17
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Originally posted by: dullard
Originally posted by: So
I have no problem with a co-op. If a bunch of people want to band together and try it on their own that's fine. That's the most fundamental part about economic freedom. It's also very different from what is being proposed here. VERY different.
What the OP suggested really has a lot of problems. Forced takeovers by the government isn't something that I'd advocate. So yes, that is very different.

But to lump all communal control into communism is wrong. And to define all communal control as bad (when you were dissing government control earlier) is also wrong.

All communal control of anything IS wrong, when it is forced upon people by the government. In a capitalist society, people are (theoretically) free to withdraw from the system and form co-ops and communes. In fact, in the US, we have a LONG tradition of just that. From the early socialist communes of the 1860s to the hippies of the 1960s, economic freedom means, and IS political freedom. An openly structured free economy allows people to join their own groups if they so choose without forcing their ideology on others. Sounds like a plan to me. :D
 

So

Lifer
Jul 2, 2001
25,923
17
81
Originally posted by: UCDAggies
Sad thing is, people around here tried to do it. But PG&E spent close to 15 million dollars on a campaign of lies and the measure to use ED to seize controle of PG&E assets was defeated. Sad indeed.

So, PG&E used part of the money they earned legitimately to convince the people that some special interest group's smash and grab tactics -- a plan to use the power of the government to steal their hard earned system from them -- to defeat that measure? Sounds like the sponsors of the measure owe PG&E 15 million so they don't have to affect the rates of everyone.
 

SSSnail

Lifer
Nov 29, 2006
17,458
83
86
Privately owned with government governance FTW. I guess I do need to mention effective governance.
 

dullard

Elite Member
May 21, 2001
26,048
4,695
126
Originally posted by: So
All communal control of anything IS wrong, when it is forced upon people by the government. In a capitalist society, people are (theoretically) free to withdraw from the system and form co-ops and communes. In fact, in the US, we have a LONG tradition of just that. From the early socialist communes of the 1860s to the hippies of the 1960s, economic freedom means, and IS political freedom. An openly structured free economy allows people to join their own groups if they so choose without forcing their ideology on others. Sounds like a plan to me. :D
Ahh, finally some common ground. I just couldn't understand your earlier argument against people voluntarilly forming groups, and having that group control a utility (that is the very definition of a government). Like you said, that has been working well for ages so I couldn't figure out why you were opposed to it. You were opposed to forced membership of that group - but you support voluntary membership. Think about what I typed earlier and consider it in the light of voluntary memberships. In some cases, voluntary government control is the better option (such as a co-op). Usually it isn't, but it is in some cases.
 

So

Lifer
Jul 2, 2001
25,923
17
81
Originally posted by: dullard
Originally posted by: So
All communal control of anything IS wrong, when it is forced upon people by the government. In a capitalist society, people are (theoretically) free to withdraw from the system and form co-ops and communes. In fact, in the US, we have a LONG tradition of just that. From the early socialist communes of the 1860s to the hippies of the 1960s, economic freedom means, and IS political freedom. An openly structured free economy allows people to join their own groups if they so choose without forcing their ideology on others. Sounds like a plan to me. :D
Ahh, finally some common ground. I just couldn't understand your earlier argument against people voluntarilly forming groups, and having that group control a utility (that is the very definition of a government). Like you said, that has been working well for ages so I couldn't figure out why you were opposed to it. You were opposed to forced membership of that group - but you support voluntary membership. Think about what I typed earlier and consider it in the light of voluntary memberships. In some cases, voluntary government control is the better option (such as a co-op). Usually it isn't, but it is in some cases.

With which I agree. Government oversight committees are essentially that -- power companies like regulation because it means they can make a guaranteed profit if they justify all their decisions and they are protected against anti-monopoly action. What I've been getting at all this time is this:

By putting the reigns of the monopoly power company directly in the hands of the government, all you are doing is dissolving that oversight. If you want to lower profits, fine. But arguing against any profit (which is often rolled into growth anyway, as well as a fundamental kitty for things like bad rate cases or error) is patently silly. If you have a problem with small reasonable profits, then you've lost me.

But people shouldn't be forced to buy power either.

Simply, I see the job of the government as not to "do" but to make sure that those who do are honest. If they become the "do-ers" there is a conflict of interest. (The obvious exceptions are uses of force, where it would be too easy for the whole system to be overthrown)

Heck, I can even imagine a system where roads were a regulated monopoly, but since they were built with tax funds, it would be REVERSE eminent domain -- stealing money from taxpayers to give to businessmen, and I don't support that either.
 

dullard

Elite Member
May 21, 2001
26,048
4,695
126
Originally posted by: So
Heck, I can even imagine a system where roads were a regulated monopoly, but since they were built with tax funds, it would be REVERSE eminent domain -- stealing money from taxpayers to give to businessmen, and I don't support that either.
I agree with that. Giving our shared property to specific businesses for profit is something I don't support. For example, giving our Alaska oil to oil companies for free or nearly free isn't something I support. If they paid $60/barrel (minus drilling and transport costs of course), sure let them take it. But why give away something I own to someone else for free?

Roads are a great example of where I'd perfer to have government do-ers. Sure some roads are private, but I hate stopping every 500 feet to pay another toll. That constant stopping makes the toll road take twice as long to drive on. Sure the roads are well maintained and sure there isn't much traffic. But I want to get from point A to point B fast. Until GPS systems are installed with auto billing for toll roads, I'll take the inefficient and bumpy government roads and get there 50% faster.
 

So

Lifer
Jul 2, 2001
25,923
17
81
Originally posted by: dullard
Originally posted by: So
Heck, I can even imagine a system where roads were a regulated monopoly, but since they were built with tax funds, it would be REVERSE eminent domain -- stealing money from taxpayers to give to businessmen, and I don't support that either.
I agree with that. Giving our shared property to specific businesses for profit is something I don't support. For example, giving our Alaska oil to oil companies for free or nearly free isn't something I support. If they paid $60/barrel (minus drilling and transport costs of course), sure let them take it. But why give away something I own to someone else for free?

Roads are a great example of where I'd perfer to have government do-ers. Sure some roads are private, but I hate stopping every 500 feet to pay another toll. That constant stopping makes the toll road take twice as long to drive on. Sure the roads are well maintained and sure there isn't much traffic. But I want to get from point A to point B fast. Until GPS systems are installed with auto billing for toll roads, I'll take the inefficient and bumpy government roads and get there 50% faster.

I was thinking more along the same lines as a regulated power system. Not that it matters, like you said, it'd be redistribution, but now it's a thought experiment, so here:

each state could allow a regulated monopoly to charge a monthly fee to use any roads in the state. Each state would have a reciprocity with other states, so if you paid your local utility you'd get use of all roads, toll free. You can assume that a certain percentage of your population would be "out of state" at any given time, and bill in much the same (flat fee) manner that an ISP or local calls do.

Nevertheless, our current system is based on user fees anyway (what do you think gas taxes are for ;) ) so it's essentially the same system. A privately owned system would probably provide cheaper service or better roads, but it'd cost too much to privatize it in the first place. And in places like LA where the roads are overcapacity, it'd fall just like the overcapacity power grid did when they tried privatization...
 

sandorski

No Lifer
Oct 10, 1999
70,784
6,344
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Kinda tricky subject. I agree somewhat with everyone! :D

In Canada Electrical Utilities use to be Publicly Owned(Government Corporations) along with Telephone Corps. I suspect it was similar in the US, but can't say for sure as I don't really know. Anyway, the reasoning behind early Government Ownership was fairly sound and from it very good Service was achieved at a very good Price(certainly better price than what Private could provide at the time, usually). After awhile due to Infrastructure(power/phone lines, power plants/switching facilities(Operators/Electronic switchboards) and Standardization it became increasingly unnecessary for Public Ownership and Private Corps were able to provide the necessary essential Service. So the switch from Public to Private was made, but Government maintained a Regulatory role in order to ensure continued good operation of these essential Services. The Public made Private Corps still had a Monopoly, but then even that has been(process is well on the way) steadily moving toward more and more competition.

Does it make sense to reverse this process? Maybe. Before reversing it though, I think one needs to make a sound argument that the Private Sector has seriously failed to provide the essential service. Personally I just don't see that as the case. Sure, there will always be the Enrons who muck things up or others who make mistakes here or there, but overall the Private System is working quite well and the errors can be easily corrected through Government Regulatory actions(sometimes even this is unnecessary).

I think the role of Government in regards to these types of Services and Public Ownership works best when a New Technology comes on the horizon that will change everything. Electricity, Telephones, Radio/TV, and the Internet were all these types of technologies in recent history where Government direct involvement was good, in the early stages. After the establishment of them, Private Corps were and are sufficient and even better(in most cases) for the continuation of those Services.
 

PowerEngineer

Diamond Member
Oct 22, 2001
3,606
785
136

Yes, I work for a power utility too.

Private utilities are generally regulated monopolies within the service territories granted by the states. The persistent notion that these companies can somehow rake in huge profits is just plain ignorant. It's closer to the truth to say that overzealous regulation (heads I win, tails you lose) is making the utility business more risky than the rate of return allowed on capital investments. That's why so little money is being invested in electrical infrastructure.

Regulated monopolies are not extremely efficient, which is why the "free market" crusaders (from Texas) successfully pushed to partially deregulate the industry. The infusion of competition on the generation side has had some benefits, but the abuses (e.g. the California Energy Crisis) have also been extremely expensive.

My experience has been that government-run utilities (local, state, or federal) are generally less efficient than their private counterparts. They can often manage to provide lower rates through preferential access to resources (e.g. hydroelectric site licensing), tax-free bonding (requiring lower rates of interest), and sidestepping regulation (the Feds will get that right-of-way...). But they squander a lot of their inherent cost advantage through unfocused management and spending.

Just my two cents. There are always some exceptions. No offense meant to anyone.

That said, what really makes me laugh is when some governmental body arguing for a take-over claims they can lower rates because as a "public" utility they will avoid paying all those government taxes!

:Q

 

UCDAggies

Member
Apr 4, 2007
148
0
0
Originally posted by: So
Originally posted by: UCDAggies
Sad thing is, people around here tried to do it. But PG&E spent close to 15 million dollars on a campaign of lies and the measure to use ED to seize controle of PG&E assets was defeated. Sad indeed.

So, PG&E used part of the money they earned legitimately to convince the people that some special interest group's smash and grab tactics -- a plan to use the power of the government to steal their hard earned system from them -- to defeat that measure? Sounds like the sponsors of the measure owe PG&E 15 million so they don't have to affect the rates of everyone.

I wouldn't call the board of directors for a county and city board members a special interest group.
 

UCDAggies

Member
Apr 4, 2007
148
0
0
A big advantage too Electric MUD is they don't have to pay taxes. Saving customers tons of $$$.
 

HannibalX

Diamond Member
May 12, 2000
9,359
2
0
Originally posted by: UCDAggies
Sad thing is, people around here tried to do it. But PG&E spent close to 15 million dollars on a campaign of lies and the measure to use ED to seize controle of PG&E assets was defeated. Sad indeed.

Sounds like a victory for liberty and a defeat for more mommy knows best government control.

I am glad the government lost.
 

Wreckem

Diamond Member
Sep 23, 2006
9,547
1,127
126
Originally posted by: UCDAggies
Originally posted by: K1052
Originally posted by: UCDAggies
Originally posted by: K1052
Originally posted by: UCDAggies
Private utility companies such as PG&E or SoCal Eddison need to make a profit for their shareholder so they have to charge more for energy. Public owned and operated companies don't make a profit, so they can be run more efficiently. I don't see why local governments aren't seizing control of private owned electric and other utility companies.

Nationalization would require an act of congress at the minimum. Not to mention I think it would get shot down quickly in the courts and rightfully so. The economic implications of outright theft (theoretically trillions of dollars) from millions of domestic and international investors bears some contemplation.


I am not talking about Nationalization, but rather local owned. Cities and counties seize control of the power lines and such and providing electricity them self.

You propose to seize substantial assets that were paid for by private money that exist on the books of companies as owned assets. Same difference.

They should be compensated for the fair market value. The local government can use eminent domain.

Most local governments couldnt afford to spend fair market value. Even the smallest power plants cost tens if not hundreds of millions of dollars.
 

So

Lifer
Jul 2, 2001
25,923
17
81
Originally posted by: UCDAggies
Originally posted by: So
Originally posted by: UCDAggies
Sad thing is, people around here tried to do it. But PG&E spent close to 15 million dollars on a campaign of lies and the measure to use ED to seize controle of PG&E assets was defeated. Sad indeed.

So, PG&E used part of the money they earned legitimately to convince the people that some special interest group's smash and grab tactics -- a plan to use the power of the government to steal their hard earned system from them -- to defeat that measure? Sounds like the sponsors of the measure owe PG&E 15 million so they don't have to affect the rates of everyone.

I wouldn't call the board of directors for a county and city board members a special interest group.

I would certainly call a small group of politicians making a call for an act that will substantially increase their personal power a special interest group.

You seem to advocate theft and justify it on the grounds of convenience and mob rule. I hope to god you never get any power.
 

misle

Diamond Member
Nov 30, 2000
3,371
0
76
Originally posted by: Wreckem
Most local governments couldnt afford to spend fair market value. Even the smallest power plants cost tens if not hundreds of millions of dollars.

You got that right. We just built a peaking generation facility. The two natural gas turbines cost $140 Million. That's just the turbines!
 

UCDAggies

Member
Apr 4, 2007
148
0
0
Originally posted by: So
Originally posted by: UCDAggies
Originally posted by: So
Originally posted by: UCDAggies
Sad thing is, people around here tried to do it. But PG&E spent close to 15 million dollars on a campaign of lies and the measure to use ED to seize controle of PG&E assets was defeated. Sad indeed.

So, PG&E used part of the money they earned legitimately to convince the people that some special interest group's smash and grab tactics -- a plan to use the power of the government to steal their hard earned system from them -- to defeat that measure? Sounds like the sponsors of the measure owe PG&E 15 million so they don't have to affect the rates of everyone.

I wouldn't call the board of directors for a county and city board members a special interest group.

I would certainly call a small group of politicians making a call for an act that will substantially increase their personal power a special interest group.

You seem to advocate theft and justify it on the grounds of convenience and mob rule. I hope to god you never get any power.

Do you honestly think ED is government theft.