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Its nice to see that the northern part of the state (KPL) that enjoyed lower utility rates since wolf creek (KGE) has now decided that rate parity is the way to go since the north is now looking at paying double or more for carbon emissions. For years Wichita has had to pay up to 35% more for their power and at what cost to loss of business since the north could point to these associated costs as a factor for locating a business/mfg in the north rather than the south. Granted, the rates have equaled over the decades but again it took this long for it to happen and no one in the north ever offered to help pay the difference. My feelings for the northern rate payers can be summed up in two words. SCREW EM.
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pogo,
You are very misguided on this issue IMO. Let's look at some facts:
KG&E built Wolf Creek Station at great expense to the rate payers. Rates went up in the eighties by a large margin to begin to pay for new plant. This caused pubic outrage and panic at the time. People forget that KG&E tried to increase the rates in the seventies to begin to pay for the plant before construction was complete. This was an effort to keep rates lower after the plant was on-line producing power. The KCC and public would have no part of that and was completely ignorant of the benefits of the plant down the road. The new nuclear plant ended up costing around 3 billion in seventies and eighties dollars. This placed KG&E in a difficult position to say the least, and do to financial and public pressure, the company felt it had to merge. KCP&L was the best choice, but KP&L ended up being the white night to rescue the southern utility. I want to emphasize rescue.
KP&L...NEVER...EVER..EVER..EVER agree to pay for Wolf Creek. And furthermore, the KCC established this fact at the time of the merger by a rate structure that would, in effect, even out the rates over time as Wolf Creek was paid for. Sounds fair to me. Bob Knight knew this and had no problems with the rate structure when it benefited the south at the time of the merger. In other words, the merger provided the south a degree of rate relief after the merger. KP&L may not have agreed to the merger if they knew public pressure would force the KCC to impose higher rates on the norther due to Wolf Creek. The north has been getting screwed because of media and political misrepresentations and public ignorance.
Now, years later, Wolf Creek is reaping benefits that only a nuclear plant can provide. Mega watts and low prices and low emissions. KP&L went for the safe and cheaper option of coal power. Cheaper then, but getting more expensive by the day now. It was the right choice for KP&L in the 50's and 60's before mergers where ever thought of. We benefitted by this with rate parity that was FORCED on the north when coal was, and in some cases, still is a cheaper option. The KP&L rate payers are simply getting screwed with rate parity. They began to pay for Wolf Creek when they never agreed to do so. Now that we see coal is costing more every year, the south is saying we don't want to pay. That the rates should not be the same and go back to what they where before. Except for in reverse. Are you serious?????
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