Few lessons learned from California's energy debacle

  • 14/03/2001

Closed door negotiations continue between California's Democratic Governor Gray Davis and executives at the state's two big utilities. At issue: how much tax-payers and rate-payers will have to pay for the Golden State's failed experiment with electricity deregulation. The utility companies say they need $10 to $12 billion to keep the lights on this summer --- and right now it looks like law-makers will play along. Across the board, California consumers already pay the highest rates in the nation. And now their rates may go up again.