PSC Comments on Iberdrola takeover of Energy East by Dan Wing

Fraud

The NY State PSC is considering allowing in an industrial wind giant company without having any PSC fraud prevention apparatus in place.

1. Iberdola and its affiliates are the only entity which reads its own production meters at its:
a. NY located wind farms.
b. Pennsylvania-located wind farms (some which receive NY RPS funds and many which issue RECs for which NYSERDA pays cash).
c. NJ-located wind farm (the Jersey-Atlantic Wind Farm received NY RPS funds and it issues RECs for which NYSERDA pays cash).

2. Iberdola and its affiliates are allowed by the NY PSC to print whatever number of RECs (having cashable value) that Iberdrola determines appropriate. That’s essentially handing Iberdrola a printing press to print its own money in an unregulated system.

3. NY State has no tracking system for RECs and particularly no tracking system for RECs which for the same unit of production (or marketing) are being fraudulently “double-dipped” for cashing in 2 (or more)states – NY being one of those states.

4. MW (megawatts)is not a production figure. It is a lab tested value. Actual production figures are a unit of measure (e.g., KW, MW) PER HOUR. The amount of the actual lab tested MW assigned value is intentionally misleading (as is the numbers of houses it will power for a year), being that only 10% (or less) of those rated amounts ever enter the Grid as electricity.
a. Yet, Iberdrola-owned Gamesa (a turbine assembler/manufacturer) claims the lab capacity [aka nameplate capacity] to obtain far more taxpayer monies’ subsidies than deserved.
b. Yet, about 2 years before a wind farm’s production ever begins, the wind farm (such as Iberdrola’s Beaver Creek Wind Farm in Pensylvania)issues long term discount-rate huge bulk-electricity many-year contracts to special interests (businesses; institutions; government agencies) for hypothetical quantities of electricity (based on lab ratings)which are 90% (or more) greater electrical output than the wind farm can ever operationally output into the grid. The lab-rated nameplate capacity is used by the wind industry to obtain far more taxpayer monies’ subsidies than deserved.

DanWingPSCComments.doc
my%20generic%20letter%2025%20Aug%202008%20about%20Iberdrola%20takeover.doc