More PATH Kremlinology

There is no news coming out of the PJM puzzle palace about PATH, so we have to rely on little bits of information that come our way.

I spent the day at the WV Legislature today and spoke with a very prominent legislative leader.  He told me that he recently met with FirstEnergy officials, and he asked them pointblank if they had any plans to proceed with PATH.

The answer?  PATH is not even on FirstEnergy’s radar screen anymore.

This is complete hearsay, but it is pretty reliable.  Yet FERC continues to allow FirstEnergy and AEP to collect our money for their zombie project.  There needs to be an open and transparent end to PATH as soon as possible.

There is no “abeyance” when a project is dead.  Citizens should not have to rely on rumor and secondhand information to find out the truth.

3 thoughts on “More PATH Kremlinology

  1. It’s all about that $130M stranded investment… but as long as PATH can double leverage by having its parents borrow at great low rates and pump that capital into the PATH project that earns at 12.4%, it could go on forever…

    There is no graceful exit for them at this point. It’s gonna hurt. So, let’s get to ripping off the bandaid… I’ve got better things to do with my spare time…

    • You have gone right to the heart of the matter, as always, Keryn. If AEP/FE abandon this project, they want to make sure they can get rate recovery for the whole thing. The one thing they don’t want is for their shareholders to get stuck with all the costs of their misbegotten PATH project if FERC makes them write off the whole $130 million.

  2. Well, ya know what? I don’t want to get stuck will all the costs of their misbegotten PATH project either! Better the shareholders than 60 million ratepayers in WV, VA, MD, DE, DC, NJ, TN, NC, OH, PA, KY, IL, MI, and IN.

    Since rates should be paid by the ones who caused them… this one is all PATH’s! 🙂 Maybe power companies should think before embarking on unneeded projects in the future.

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