October
5, 1998 412/421-6072
or 412/687-0549
on DQE/Allegheny Energy
Merger
Citizen Power, Inc., the Western Pennsylvania
consumer and environmental watchdog group, applauded Duquesne Light Company’s
formal announcement today that the Company was terminating the planned merger
between Duquesne Light and Allegheny Energy, and urged both companies to move
on to true competition without further delay.
David Hughes, Executive Director of
Citizen Power said, “It’s time for both companies to stop wasting their
customers’ money and everyone’s time and finally move to true competition.
“So far, Western Pennsylvania
electricity customers have been willing but unable to shop for alternative
suppliers. Most potential competitors
to Duquesne and Allegheny have been unable to guarantee lower prices because
both companies have failed to open up their transmission lines to
competition. If competition is to work
the companies must immediately and fully open the transmission system to all
suppliers.
“The companies must also stop their
legal footdragging on their restructuring cases. The Public Utility Commission considered these cases fully and
their rulings should stand. Further
litigation by Duquesne and Allegheny, as they attempt to sweeten the pot and
get more customer-funded bailouts, only serve to harm customers and delay
competition,” continued Hughes.
“The PUC must now approve an auction
plan for Duquesne’s generation plans that enhances competition and does not
increase the company’s customer-funded bailout of so-called stranded costs,”
added Hughes. “Competition can only
occur if the plants are sold to multiple buyers, who have open access to the
transmission systems currently controlled by Allegheny and Duquesne.”
“The companies have enjoyed their
monopolies for nearly a century, concluded Hughes. “But enough is enough.
It’s time for Duquesne and Allegheny to face the marketplace, and make
competition a reality for Western Pennsylvania Electricity customers.
Citizen Power, Inc. is a public policy,
research, education and advocacy group, which is an officially designated
Public Interest Intervenor in all the Western Pennsylvania cases on electricity
restructuring.
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