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Customers Complain Of Pricesto supply the additional electricity .needed when on-site co-generationThe high price of oil has forced people to cut down on their energy and has made New Yorkers the most efficient energy consumers in the U.S. The new %u201c Master Plan%u201d just released from the State Energy Office (SEQ) says that New York should conserve even more in addition to making the utilities more efficient energy users.New York State, on the other hand, relies on the more expensive imported oil for 66 per cent of all its energy needs. In the rest of the country, the average is 45 percent. The State%u2019s energy bill has risen accordingly. In 1972 it was some $8 billion. Now it is more than $16 billion and rising.The State Energy Office (SEO) will be holding hearings during September and October on its %u201c master plan\state's dependence on oil. James Larocca (the SEO Commissioner) outlines in his Master Plan a variety of approaches including increased use of coal and natural gas. conservation and some experimental projects recovering energy from waste, and extracting solar and hydro electric power.The SEO does not foresee construction of any new nuclear power plants except for the opening of two new plants scheduled to start operation in 1980. Shoreham on Long Island and Nine Mile Point 2 in upstate New York. The addition of these two plants will give New York seven nuclear reactors, more than any other state except Illinois which also has seven plants. Con-Ed's Indian Point 2 at present supplies 17 per cent of its power.)engines have a peaking problem.The matter is now being debated at the Public Service Commission, the State regulatory agency, to determine if on-site co-generation should be allowed and if so at what price would Con-Ed supply electricity, and if Con-Ed would have to buy back the extra electricity fed back into the system when little electricity is used in the buildings.NEW STATE ENERGY PLANThe new state plan runs headlong into a confrontation with New York%u2019s utilities and in particular Con-Ed, which favors expansion of nuclear energy. Coburn agrees, though, with the state%u2019s emphasis on cheaper, domestic coal, to generate electricity rather than expensive imported oil.%u201c We have asked to use coal,%u201d Coburn says because it is cheaper than oil. The problem is that coal pollutes and one of the reasons Con-Ed, several years back, switched its coal fired plants to oil was because Environmental Protection rules required the burning of clean, low sulfur oil, during a time when oil was also cheaper.But Coburn counters, %u201c we have highly efficient tall stacks to filter the pollutants.%u201d Tall stacks, however, disperse the pollutants further away from the City while \can be a very costly proposition, something Con-Ed would like to avoid.Coburn in the meantime is waiting to get the permits to burn coal. %u201c We have not seen the piece of paper to allow us to use coal%u201d he says, and it promises to be a long wait because of complicated compliance procedures for air quality standards. It can take until 1982for Con-Ed to be able to convert three of its in-city plants in Queens and in Staten Island to coal.Coburn also complains of the City%u2019s policy to require plants to be built outside the city, and, is wary of customers who complain of high prices. Another reason why prices are so high is that %u201c the City said we couldn%u2019t build them (the generating plants) in the City anymore, but that%u2019s what holds the price down.%u201d Long transmission lines, he says, lose power. Electricity generated far from where it is needed brings down the rate of efficiency. In fact, Coburn says, that now it is getting hydro power all the way from Canada losing up to 10 per cent of the energy generated just by having to transmit it across several states to the five boroughs.Karen Burstein, an activist former Democratic State Senator from Nassau County, who is one of the seven Commissioners who make up the Public Service Commission, the State regulatory body which sets the rate increases for utilities in the State, agrees with many of the complaints of Con-Ed. Not building generators in the city she says, %u201c is a problem%u201d not only because of the loss of efficiency but also because with long transmission lines %u201ca potential liability is enhanced.%u201d She cites the recent New York City area blackout as an example, when one of Con-Ed%u2019s transmission stations was hit by lightning.However, if it had in-city generators, Con-Ed would still be experiencing expensive maintenance because of its aging, expansive underground system, and aging generator plants, Burstein exolains.If it seems that the Public Service Commission is an apologist for the utilities, that view is quickly dispelled when Con-Ed%u2019s Cobum points out that the company%u2019s latest rate increase was 6.6 per cent and that it%u2019s most recent previous rate increase was two years earlier.Sullivan of BUG says, %u201c we were allowed a 13.75 per cent return on our equity,%u201d but BUG has only been making a 12.50 per cent. Sullivan ruefully remarks that public pressure has made regulators more strict, though he has high marks for the PSC calling it the %u201cleader in innovation%u201d and %u201c professional regulators representing the public mandate%u201d of efficiently run facilities.When Burstein was appointed to the PSC she was considered an outspoken advocate for consumers. Burstein says of her six colleagues in the PSC that there are %u201c degrees of daring and imagination%u201d and that some people might be %u201c more rigid%u201d but adds that the Commissioners are for seeing to it that people get %u201c safe and adequate service.%u201d Still she has had an impact she says because she %u201chas raised questions though not always successfully.%u201dPSC members at this time are worried that with all the talk of on-site co-generation, buying solar panels and wind power, that these options are only for the people who can afford to do so leaving utilities with a smaller, poorer base of customers. \are going to lose customers,%u201d she says, %u201c but you can%u2019t squeeze blood from a stone.%u201dThe referendum on the ballot for this November that would have W estchester County buy Consolidated Edison plants there and convert them into a municipal power system %u201cwill screw New York City residents%u201d if it passes, says Burstein. It will leave Con-Ed with fewer customers, high fixed costs and therefore raise the rates for New York City residents.The PSC in turn has ordered utilities to %u00abpend more money on research and development in addition to experimenting with ways to encourage conservation.TAXING SUMMER DAYS%u201cThe whole system is built for those 10 days in August,%u201d Burstein says, %u201c when everyone turns on their appliances and air conditioners. The rest of the time Con-Ed only needs 40 per cent of its generating capacity.%u201d Con-Ed has a pilot project where %u201c timeof-day%u201d meters are installed and customers are charged at a higher rate during the day peak hours and a lower rate during the night off peak hours, but installing me srs in all homes would be very exp isive.The PSC, Coburn says, has also ordered a summer surcharge on electricity %u201c making the customers very angry.%u201d Coburn shrugs, but Burstein says it will make people think twice about using energy unwisely. Reducing the peak demands during the summer months will, the PSC hopes, eliminate the need to build new plants, saving utility companies construction money, and customers additional rate increases.But all that the PSC and the utility companies are trying to do right now is just part %u201cof a long transitioin period%u201d Burstein says and %u201c people have to make the best of a bad situation.%u201dINSULATIONTIRED OF HIGH FUEL BILLS?Have your roof or walls insulated. Experts in brownstones & limestones. Guaranteed to pay for itself. 854-8453WISE ENERGYCONSERVATIONS SYSTEMS, INC. 4009 5th Ave. Bklyn. 11232M . 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