SCANA

Thanks. I don’t have a good grasp on this business, even though it’s probably pretty simple. I’ve never really looked at it much. But on the surface, it seems that we have what is essentially a monopoly (to some degree) since I don’t have a choice of who I want to go with. And because they are a monopoly, the government has decided to regulate how much they can charge the consumer. If they weren’t regulated, they could theoretically set any price they want (“free’ish market”). But instead, they have to work in the confines of the local government. If they want to raise prices, then they have to get legislature approve a rate hike. If the legislatures approve a rate hike, then consumers get really pissed off about it (nobody likes higher prices). I get that part, but what I don’t get is when consumers scream for a “free market”. If that happened tomorrow, SCANA could set any price they want, right? And then the consumer has the options of 1) Installing solar or alternate power source, 2) Waiting for the government to chop up SCANA and allow other businesses to come into play (which would probably take years and years), 3) Quit using power. None of those seem really all that attractive (at least not in the current form of “solar”).

quote:
Originally posted by Edistodaniel

Who was in charge of checking up on the subcontractor? While the stock was rising and the bonuses were being paid, who was monitoring the project from SCANA/SCEG? There were no indications of anything being that far behind budget until March of 2017?


There are numerous SCE&G folks directly involved in the project. Prior to March the project delays and cost overruns were well understood. In an earlier post TheMechanic discussed some of the cost and delay issues. SCE&G had a 100% price guarantee with Westinghouse and a parental guarantee with Toshiba.

After Westinghouse declared bankruptcy the Project team gained access to Westinghouse data that they previously couldn’t see. That’s when it was learned that the Westinghouse cost estimates were understated by about 300% and the construction time required another 2-3 years.

All of this is in the filed testimony at the PSC.

Pioneer 197SF

quote:
Originally posted by Geronimo

You’ll have to show me one of those negative WNA bills, aka unicorn.

Yes, it does fluctuate based on the weather, but I have never seen it go negative. We would have to have a record cold month for that. Here is a snap shot of my Dec. rate over the past 3 years and the average temp. Base rate between .95-1.10.

2014- 1.23 @ 52*
2015- 1.54 @ 58*
2016- 1.33 @ 55*

“Wailord”
1979 17’ Montauk
90 Johnson

Wilderness Ride 115


Unicorns were running around in Jan - Feb of 2016 and it wasn’t real cold for the month, we only had 2-3 days of real cold weather. I had a negative adjustment on my February bill. It all depends on your billing cycle. My meter is read in the 3rd week of the month.

Remember that discussion of capacity and volume. If we pick a temperature that is too high and we don’t have sufficient capacity or volume then rates will be lower but no one will be happy when we don’t have enough gas on the coldest days to keep them warm.

We also use compressed gas storage and have large customers that agree to be interrupted. The compressed gas is vaporized and injected into the system. The gas those big customers would normally use is diverted to serve other customers. All these mechanisms are used to manage price and supply.

Pioneer 197SF

I got charged a 50% WNA increase and then 30% WNA increase during those same months.

Where do you live? I’m moving there if you got a negative and I got a 50% increase, that is horse ****!

“Wailord”
1979 17’ Montauk
90 Johnson

Wilderness Ride 115

quote:
Originally posted by skinneej

Thanks. I don’t have a good grasp on this business, even though it’s probably pretty simple. I’ve never really looked at it much. But on the surface, it seems that we have what is essentially a monopoly (to some degree) since I don’t have a choice of who I want to go with. And because they are a monopoly, the government has decided to regulate how much they can charge the consumer. If they weren’t regulated, they could theoretically set any price they want (“free’ish market”). But instead, they have to work in the confines of the local government. If they want to raise prices, then they have to get legislature approve a rate hike. If the legislatures approve a rate hike, then consumers get really pissed off about it (nobody likes higher prices). I get that part, but what I don’t get is when consumers scream for a “free market”. If that happened tomorrow, SCANA could set any price they want, right? And then the consumer has the options of 1) Installing solar or alternate power source, 2) Waiting for the government to chop up SCANA and allow other businesses to come into play (which would probably take years and years), 3) Quit using power. None of those seem really all that attractive (at least not in the current form of “solar”).


That’s fairly accurate except this business is crazy complicated. Rte decisions are made by the PSC and ORS. As a monopoly prices are regulated and the utility has an authorized rate of return. That rate is rarely reached. One challenge is setting rates at a level that is acceptable to customers and earns a sufficient return to attract capital. If the return is too low, the risk-reward nature of the market won’t provide capital at a reasonable cost. Cost of capital goes into the rate calculation. So you can see the cost-return-rate i

quote:
Originally posted by Geronimo

I got charged a 50% WNA increase and then 30% WNA increase during those same months.

Where do you live? I’m moving there if you got a negative and I got a 50% increase, that is horse ****!

“Wailord”
1979 17’ Montauk
90 Johnson

Wilderness Ride 115


Are you sure you looked at 2016 and not 2017?

If so then they must have applied the PIA factor to your bill. I’d be happy to look it up for you but can’t do that without your permission. PM me with your address or account number if you want.

Have you had a free audit done to help you with your house? Free light bulbs?

Pioneer 197SF

Yes, all good on the energy audit. We heat our house with gas and use a fireplace, so our usage is high in the winter months. I’ll PM you my account so you can check it out. Definitely looking at 2016.

“Wailord”
1979 17’ Montauk
90 Johnson

Wilderness Ride 115

What is this about limit on 15 LED bulbs? Do you mean that they regulate the number you can buy from them? Why can’t I just go to Lowe’s and buy 20 if I want?

quote:
Originally posted by skinneej

What is this about limit on 15 LED bulbs? Do you mean that they regulate the number you can buy from them? Why can’t I just go to Lowe’s and buy 20 if I want?


you can get 15 from us for $1 each (for a standard A bulb, others types at a discount) or buy as many as you want at Lowe’s for whatever they charge

Pioneer 197SF

quote:
Originally posted by Geronimo

Yes, all good on the energy audit. We heat our house with gas and use a fireplace, so our usage is high in the winter months. I’ll PM you my account so you can check it out. Definitely looking at 2016.

“Wailord”
1979 17’ Montauk
90 Johnson

Wilderness Ride 115


Found your unicorn on the March bill, sent you a PM.

Pioneer 197SF

You are correct. A whopping $3.75 credit to offset the months and months of $25-$75 adds.

Still cheaper overall than propane though, so guess we can’t complain too much.

“Wailord”
1979 17’ Montauk
90 Johnson

Wilderness Ride 115

quote:
Originally posted by Blueskyguy
quote:
Originally posted by skinneej

What is this about limit on 15 LED bulbs? Do you mean that they regulate the number you can buy from them? Why can’t I just go to Lowe’s and buy 20 if I want?


you can get 15 from us for $1 each (for a standard A bulb, others types at a discount) or buy as many as you want at Lowe’s for whatever they charge

Pioneer 197SF


Ah, gotcha. I don't see the issue with that. I think they cost me around $3-$4 each at Lowe's. If SCE&G is selling them at a lower price than MSRP, then they would have to have some sort of limit, since it's basically a consumer subsidy.
quote:
Originally posted by pitviper0404

Where can we purchase the $1 LED bulbs from?


One Simple Thanks!!

http://www.militaryappreciationday.org


https://www.sceg.com/for-my-home/save-energy-money/light-bulb-discounts

quote:
Originally posted by pitviper0404

“SCAMA”


One Simple Thanks!!

http://www.militaryappreciationday.org


Ol Scama not so bad now?

Check out Goodwill, bought 36 in Ashville for $1 each.