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View Diary: Thoughts on the Enron decision from an ex-Andersen guy (240 comments)

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  •  Schwarzeneggar et. al (7+ / 0-)

    Good point DBunn ! Bush & Co.clearly engineered the regime change in California, and the ousting of Gov. Gray Davis and subsequent "special" election to install Arnold saved Enron millions. As you mention, there were lawsuits, and then Lieutenant Gov. of California Cruz Bustamonte had proof of fraud by Enron and under California Civil Code provision 17200, the "Unfair Business Practices Act" , they would have had to pay retribution to the state. This whole affair is discussed by Mark Crispin Miller in his excellent book Cruel and Unusual :Bush and Cheney's New World Order.(W.W. Norton, 2004).

    Enron and its colleagues in the U.S. Energy cartel wanted to plead guilty to conspiracy and then only pay two cents on the dollar, but this would have been impossible with Davis as Gov. I still remember at the time how the MSM portrayed Davis as the culprit and blamed him for the whole energy crisis. It was complete and total spin, deception and doublespeak at it best.

    •  Too bad they were all wrong.... (2+ / 0-)
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      clammyc, Carbide Bit

      And, still no one mentions the real reason why electricity was in short supply in California in the first place.

      It was not Enron, FERC, Bush, Cheney, Davis, or Schwarzenegger.

      It was a 1200 megwatt reactor at San Onofre that was down due to a turbine failure.  With a replacement part with a long lead time, that was still delivered in about half the projected time.

      1200 megawatts... Enogh electricity to power 1,000,000 homes.  Around 6-7% of all electricity in the state. That alone is the difference between a power alert and plenty of reserve.

      Yes, Enron took advantage of the situation and likely made it worse, but in the end it all started and ended with that one nuclear reactor.  But, no one took action with that simple fact in mind.  For that we can blame everyone involved. Everyone treated it like some sort of structural problem with the entire California electrical system instead of a simple part failure that brought down 6% of the electrical supply.

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