Dissecting the AEP Business Model

Keryn, with her incisive powers of observation, dissects American Electric Power’s self-proclaimed business model over on StopPATH WV.  She provides a point by point exposition of the propaganda that AEP slaps on its actual business practices to make us all feel warm and fuzzy.  It ain’t pretty.

Keryn also turned up the agenda from a conference pushing AEP’s transmission agenda from 2006 that has a lot of the same actors from the 2005 Charleston Love Fest.  Speakers at the Washington, DC conference include Cheney-appointed then-FERC Chairman Joe Kelliher, AEP PATH manager Ron Poff and good ole Steve Herling of the supposedly neutral grid manager PJM Interconnection.  The director of investment banking for the Global Energy Group of Credit Suisse, partner in AEP’s TransCo was also there.

In 2006, these guys thought they had it made.  The Cheney-controlled Congress had just passed the Energy Policy Act of 2005, PJM had just released its Regional Transmission Expansion Plan ordering Allegheny Energy and AEP to build TrAIL and PATH, and the real estate bubble was creating the illusion of increasing power demand.

What a difference a few years makes.