Yesterday the Vermont Electric Co-op sent a clear signal to Entergy Vermont Yankee. They voted 9-1 against signing a 20 year power purchase agreement with the aging plant. One VEC board member described his vote as follows:
“We need to lock in with a credible supplier,” he said. “We need to deal with a company that has the trust and support of the majority of our members. Entergy isn’t that company.”
Entergy had fired off its PR gun a little early on March 30th with a press release that was trumpeted by local online cheerleaders of the plant.
Entergy Corporation today announced Entergy Nuclear Vermont Yankee, LLC has completed negotiations on a 20-year agreement to sell power from the Vermont Yankee nuclear plant to customers of Vermont Electric Cooperative, Inc., the third-largest electric distribution utility in Vermont.
This announcement was quickly shot down by the VEC Chairman, and yesterday’s vote shows the deal had little support. Chalk it up to an ill timed PR move or an awkward attempt to bulldoze the VEC board or…it could be a move sooo sly only a few chosen souls even understand the sheer cleverness.
You see according to YesVY blog (which understandably claims no inside knowledge) it was never meant to be about a VEC power deal at all!!
Entergy was sending secret signals to others.
It’s a little long but here put on these special glasses and you will see the message.
I think Entergy is signalling. Signalling can be sort of fancy word for advertising. However, advertising is often comparatively simple: "Strawberries now available at $2.50 a quart." Signalling can be much subtler. For example, a potential employee shows his dedication to his career by going to night school, therefore "signalling" to the potential employer that he will be a very good employee. In my opinion, this press release signals: Entergy Vermont Yankee intends to be open for business after March 2012, and they are willing to give very good power purchase agreement rates.
[…] Similarly, I think that the question of why Entergy sent this press release at this time cannot be answered by looking at Entergy's relationship with VEC. This press release is a signal to a wider market. Also, this is an upbeat way of signalling: we're ready to sell power to a buyer! If the VEC board turns down the agreement later this month, Entergy's signal would not be as effective.
“Signalling” could also be sort of fancy word for “desperately trying to put lipstick on a decomposing pig.” If VEC isn’t buying then who exactly is VY hoping to convince to buy their power? Using the sleuthy logic of YesVY blog, couldn’t VEC be said to be signalling, too? As in, “there is no way in hell that glow-in-the-dark deathtrap is going to be operating past 2012, so we’re not going to waste out time reading their glossy brochure and listening to their spin…” What message does that send to the VT power market?
But keep trying, VY — Larry and the rest of the VY spin doctors no doubt have more magic up their sleeve. I envision a million-dollar ad campaign featuring little girls in white dresses walking across green fields with flowers in their hands while the voice-over tells us just how much Entergy loves us and has only our best interests at heart.
a potential employee shows his dedication to his career by going to night school
This is true. Problem is that Entergy didn’t go to night school, but rather just put it on their resume. Then they did, in fact, get schooled by VEC.
The date, March 30, coincides with the end of the first quarter. Corporations with problems may be tempted to goose-up their quarterly forecasts to keep share-holders from bolting.
They’re the only ones who churn out this bs.
Read her similiarly nutty rantings, it’s classic YVY. Of the Entergy Louisiana Propaganda Ministry members, she’s the storyteller of the bunch w/a number of tall tales. Between them, never w/o a smokescreen or snowjob. One thing for sure, her crystal ball is pretty foggy.
And, it’s not a good deal regardless. I’m pretty sure the same one they’ve been pushing right along. Except, $49/MW for first year only, then $61/MW plus an added variable-rate ‘tax’ compounded yearly, which is priced according to three indices, one market-based, another including cost of living increases the other I’m unsure of. Grid & HQ pricing are market-based. I calculated $80/MW in ten years, at the very least. I think Synapse came up w/$83. In any case, it’s more than VT would pay for the contracts we have in place now or NE Grid.
…VY was hoping to attract new customers by issuing false press releases about one of its customers? Gee, there’s an original and innovative idea! That’s just the kind of thinking that has given Entergy such a strong, positive image in Vermont.
Well, strong, anyway.
about being gamed. Members repeatedly said they accepted a price, said they would bting it up @ next meeting, all of a sudden, headlines & front pages everywhere!
At least they get to see them in action for themselves. That “message” is no secret. Just as Shumlin keeps saying “Entergy Louisiana doesn’t do business the way VT does business.”
I will say I was surprised at how strongly the members felt about the situation. I expected there would be a little blurb about the board unceremoniously rejecting the offer.