california update 3 / 22 / 01 ? the legislature will meet and vote to repeal section 390 of ab 1890 . this will reverse what the qfs get paid from natural gas costs and replace it with the formula in the governor ' s current plan - 7 . 9 cents / kwh for 5 - year contracts and 6 . 9 cents / kwh for 10 - year contracts . according to sources , this is " locked in to pass . " it will be implemented by a puc order on monday .
? the qfs met on this plan all day yesterday and have calculated what they would get paid . this plan would not generate enough money for many qfs to operate profitably . at least 2 , 000 mw of the total 5 , 407 mw of gas - fired qfs would be unable to generate a positive cash flow and would have to either operate unprofitably or shut down .
? the qf community is responding with an increased militancy for an involuntary filing , according to sources . the most aggressive qf after coram energy is david sokol and walter scott of mid - america energy ( based in nebraska ) . sokol is described by sources as " extremely aggressive . "
? an involuntary bankruptcy filing appears imminent . sources believes the trigger event will either be the legislative passage of the plan tomorrow or the puc order implementing the plan on monday .
california update 3 / 22 / 01
? the legislature will meet and vote to repeal section 390 of ab 1890 . this will reverse what the qfs get paid from natural gas costs and replace it with the formula in the governor ' s current plan - 7 . 9 cents / kwh for 5 - year contracts and 6 . 9 cents / kwh for 10 - year contracts . according to sources , this is " locked in to pass . " it will be implemented by a puc order on monday .
? the qfs met on this plan all day yesterday and have calculated what they would get paid . this plan would not generate enough money for many qfs to operate profitably . at least 2 , 000 mw of the total 5 , 407 mw of gas - fired qfs would be unable to generate a positive cash flow and would have to either operate unprofitably or shut down .
? the qf community is responding with an increased militancy for an involuntary filing , according to sources . the most aggressive qf after coram energy is david sokol and walter scott of mid - america energy ( based in nebraska ) . sokol is described by sources as " extremely aggressive . "
? an involuntary bankruptcy filing appears imminent . sources believes the trigger event will either be the legislative passage of the plan tomorrow or the puc order implementing the plan on monday .