Another blow to State's rights : LUSENET : Freedom! self reliance : One Thread

Just read this on a new group..........

High Court OKs Federal Power Rules Mar 04, 10:34 AM EST

The Supreme Court on Monday upheld rules intended to give people choices for electricity service, a partial victory for Enron, which had aggressively litigated over the regulations.

The losers were nine states that challenged the federal government's authority to order electric utilities to open their power lines to competitors.

The ruling makes clear that the federal government controls the management of the nation's power grids - and the future of electricity competition.

The Federal Energy Regulatory Commission required traditional utilities in 1996 to open their transmission lines to competing power merchants. That helped companies like Enron, which before its collapse was one of the country's largest power marketers.

Enron lost its Supreme Court argument that FERC should do even more to open power grids to competition.

The court issued a mixed verdict in which it ruled unanimously on the major elements of the case, but divided over details.

Richard Pierce Jr., a George Washington University law professor, said the ruling "is terribly important for anybody who's a consumer and interested in getting a level playing field."

"The issue is far from dead, even if Enron's role is no longer what it once was," he said.

FERC's order led numerous states to end monopolies in retail power markets. About half the states have moved toward electricity competition.

But utility regulators in Florida, Idaho, New Jersey, New York, North Carolina, Virginia, Washington, Vermont and Wyoming filed suit arguing that the regulation of retail sales should be controlled by states.

The Supreme Court turned down the states' claims. Also turned down was Enron's arguments that FERC should have required access to transmission lines when utilities continued to keep transmission and retail sales as one operation - as remains the case in many states that have yet to allow competition.

Enron filed for bankruptcy protection in December. A division of the company, Enron Power Marketing Inc., was involved in this case.

Similar financially stable companies will benefit from the ruling. They have been "flea-riding on Enron's aggressive litigating and lobbying efforts," Pierce said.

"The ruling makes clear that the federal government controls the management of the nation's power grids - and the future of electricity competition."......................this is the part that just frosts me!!!!

-- diane (, March 04, 2002


Here in Michigan we have our choice of natural gas service also. I notice on TV also,since we can get the Canadian station CBC,that over there they are showing commercials telling you about your choice in electric service.

-- TomK(mich) (, March 04, 2002.

So Tom, are you with Consumer's Energy or one of the other small companies?? How motivated will the small municipalities and companies be to maintain the infrastructure they have PAID to build if they are forced to offer Georgie Enron's energy, which by the way they never actually created but just bought the excess from someone else who had invested in infrastructure??? The Supreme Court has just ruled that private companies, like our little town one, don't own what they have built. Of course this is all in the name of customer protection and price competition. The pot's on the stove and all the froggies are just taking a nice warm bath!!!

-- diane (, March 04, 2002.

While all the BS flyes and the politico's and bureaucrat's babble, Nature is providing me with the energy to run all my electrical needs! And the people sit back and let the afore mentioned yea hoo's make bad decisions. And who will win?......yes..THE CORPORATION And who will get it in the butt......

-- Jim-mi (, March 04, 2002.

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