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Saturday, July 10, 2010

Wealth Transfer Stories Start to Surface

Watch for wealth transfer stories to start to appear in the coming months as the biggest state fails to meet requirements for 20% of energy to come from "clean" sources. Utilities can't possibly accomplish that by end of 2010 (the deadline), and they will pay with huge fines. (I don't know about that but I would assume that there must be some penalty if they don't meet the 20% threshold.)

Utilities are guaranteed a certain rate of return as part of the regulatory process, but I would assume that if they don't meet regulatory guidelines, the state can make them pay. This is all hypothetical on my part; I'm shooting from the hip. I don't have time to research while traveling but time will tell.

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