Regulated Utilities Bow to Environmentalists Pressure; Consumers to Bear the Costs Says National Center for Policy Analysis 3/11/2004
From: Sean Tuffnell of the National Center for Policy Analysis, 800-859-1154 or stuffnell@ncpa.org WASHINGTON, March 11 -- Electric power giants American Electric Power and Cinergy announced yesterday that they were caving to pressure from left-leaning environmental advocacy groups to report publicly how they are planning for potential constraints on carbon dioxide and other emissions in response to growing pressure to reduce greenhouse gas and other emissions. Experts from the National Center for Policy Analysis (NCPA) warned that these reports will benefit no one while costing rate payers and investors. "These are both regulated utilities, which can recover the costs of their gestures from ratepayers, unlike independent power producers," noted NCPA Adjunct Scholar Robert Michaels. The company reports will assess the impact of and potential responses to a number of policy scenarios, including various proposals in Congress and existing state legislation to limit carbon dioxide and other emissions. Both companies agreed to the shareholders' request that a committee of independent directors oversee the report. "In the end these reports will not have any substantive impact, as energy rationing policy initiatives, such as the Kyoto Protocol on global warming, have little chance of ever being enacted," said Michaels. To speak with one of the NCPA's experts contact the NCPA's E- Team at 800-859-1154. For more information on climate change issues visit http://eteam.ncpa.org. ------ The NCPA is an internationally known nonprofit, nonpartisan research institute with offices in Dallas and Washington, D. C. that advocates private solutions to public policy problems. We depend on the contributions of individuals, corporations and foundations that share our mission. The NCPA accepts no government grants. |