The Cost of Natural Gas [was Re: The Cost of California Liberalism]

[Tim May]

At 11:22 PM -0800 12/26/00, Raymond D. Mereniuk wrote:
>Tim May <tcmay at got.net> wrote
>
>>  Lost on your typically smug Canadian analysis has been any objective
>>  analysis of markets for power. Do you know, for example, that
>>  California as a state is a _net exporter_ of power to the Northwest
>>  and especially to Western Canada at certain times of the year? In the
>>  fall and winter, in fact, when hydroelectric generation rates in BC
>>  and Washington are reduced.
>
>I don't know where you get your information but I doubt your
>statements.  California is a net exporter of power is suspect, lets
>see the details here.

I said "at certain times of the year."

British Columbia is tied by treaty arrangements (Columbia River 
Treaty, 1961) to the Bonneville Power Administration (BPA), and is, 
VERY SIGNIFICANTLY, now part of same grid that is the ISO, the 
Independent System Operator, mostly based in California.

Read the following and weep for your beloved Canadian independence:

http://dailynews.yahoo.com/h/nm/20001208/ts/california_power_dc_3.html

For example,

"`We're about to find out next week just how interconnected the 
Western grid really is,'' Patrick Dorinson, spokesman for the 
California Independent System Operator (ISO) told Reuters.

"The ISO operates about 75 percent of the California power 
transmission grid, the biggest part of a network of high voltage 
lines that spans from northern British Columbia to the northwest Baja 
California and as far east as the Rocky Mountains. "

Between the Columbia River Treaty power-sharing and the Western Grid, 
it's all one main grid. Importantly, my point that California exports 
power _at certain times of the year_ is covered in the material below:


For example: http://biz.yahoo.com/rf/001205/n05491394.html

"CONCERNS OVER NORTHWEST SUPPLY CRUNCH

The crisis has now spread to the northwest states of Washington and 
Oregon, where electricity is often used for heating. Those states 
export power to California in summer to help it meet its load but 
flows reverse in winter as heating demand grows in the northern 
states.
...
``We have always taken for granted that California will help out the 
Northwest in winter as we help them in summer,'' saidDulcy Mahar, 
spokeswoman for the Portland, Ore.-based Bonneville Power 
Administration, noting the Northwest is hoping that Canada will be 
able to provide some help in an emergency."


and from http://nepa.eh.doe.gov/eis/eis0171/0171chap3.htm

"The peak load demands of the Pacific Northwest and California occur 
at different times. The Pacific Northwest peak demands occur in the 
winter, and California's peak demands occur in the summer. During the 
summer, the hydro-based Pacific Northwest and BPA systems tend to 
have excess capacity, which can be used to help meet California's 
summer peak demands. California's thermal-based system tends to have 
excess capacity in the winter, which can help the Pacific Northwest 
meet its winter peak. Full use of both systems can reduce the need 
for new resources in each system. BPA currently has several seasonal 
energy and capacity for energy exchange contracts in effect with a 
number of California utilities.

>
>Sorry, this is where you are showing your Childishly naive
>understanding of the energy business.  In the energy business
>(natural gas wise) if you commit to the supply and build
>infrastructure you get lower prices. 
>
>I re-state my initial premise, Californians have a lot to learm about
>energy economics!  If you don't commit, you pay more!


--Tim May
-- 
Timothy C. May         tcmay at got.net        Corralitos, California
Political: Co-founder Cypherpunks/crypto anarchy/Cyphernomicon
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Personal: b.1951/UCSB/Intel '74-'86/retired/investor/motorcycles/guns