New Media
PG&E restructuring highlights arcane California legal rule
Reuters, Jessica DiNapoli, Mike Spector, Scott DiSavino
“Inverse condemnation is a state law but a bankruptcy judge is god,” said Robert McCullough, principal at energy consulting firm McCullough Research in Portland, Oregon, noting that PG&E faces widespread lawsuits. “He’s going to have to figure out, once he releases the company from bankruptcy, if it’s actually a viable entity.”
Hydro One, Avista hope to learn Monday if Washington utility regulator will reverse ruling on merger
Mlex Market Insight, Curtis Eichelberger
Robert McCullough, founder of McCullough Research, a Portland, Oregon-based energy consulting firm that provides strategic planning assistance and litigation support, said the companies’ application for reconsideration overlooks the fundamental shortcoming of the merger, “primarily that the second-largest utility in Washington state will be controlled by a foreign government.”
Merger, they wrote: Avista and Hydro One ask Washington regulators to reconsider rejection
Utility Dive, Peter Maloney
“I would be amazed if it worked,” Robert McCullough, principal of consulting firm McCullough Research, told Utility Dive.
McCullough said he found the filing for reconsideration “surprising” and surmised it was a result of Hydro One being “desperate to get the relatively high rate of returns” that Avista earns in Washington State.
New Articles
The end of big hydro
Taking the path less followed
Vancouver Sun, Robert McCullough
A month ago, I had the honour of sitting down with the NDP cabinet and Premier John Horgan. I gave a detailed presentation why proceeding with Site C would be costly and risky. Curiously, after the cabinet meeting the only followup involved questions from specific MLAs — not inquiries from the cabinet or their staff.
Opinion: Site C proponents fall prey to Sunk Costs Fallacy
Vancouver Sun, Robert McCullough
This fallacy, which is related to status-quo bias, can also be viewed as bias resulting from an ongoing commitment. For example, individuals sometimes order too much food and then over-eat ‘just to get their money’s worth.’ Similarly, a person may have a $20 ticket to a concert and then drive for hours through a blizzard, just because s/he feels that s/he has to attend due to having made the initial investment. If the costs outweigh the benefits, the extra costs incurred (inconvenience, time or even money) are held in a different mental account than the one associated with the ticket transaction.
New Reports
The End of Big Iron: How Wind and Solar Became Cheaper than Hydro, Coal, and Nuclear
Why Have PJM Capacity Markets Decoupled from Actual Capacity Bids?
Privatizing BPA’s Assets and Liabilities
Current attempts to privatize BPA make us curious. What would a total privatization of BPA likely look like?