Gunpowder Chronicle posted on February 1, 2008 9:21 PM | Rating:
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Mayo A. Shattuck, the Chairman of Constellation Energy Group, is a ratfucker. For those of you not familiar with this term, it's an old Baltimore phrase that refers to "how far you will go". In this case, you will go so far, you will even fuck a rat.
Mayo A. Shattuck is Maryland's most successful robber baron, and he will go so far to earn his company money, he will fuck a rat.
Mr. Shattuck's company is displeased that his company was required to provide energy credits to ratepayers of BGE (a wholly-owned subsidiary of CEG) in order to ameliorate that 72.6% rate increase that was due in 2006 as the result of the final unwinding of regulated public utilities.
Let's keep in mind that the real people who screwed us first in this debacle was the Maryland General Assembly (both Democrats and Republicans) and the great gubernatorial failure Parris Glendenning. They hold the primary responsibility by de-regulating an industry that no one was complaining about. Not one BGE customer was upset with their cost of electricity, delivery of electricity, or quality of service. Since deregulation, BGE has closed its in-person payment centers, and now charges ridiculous fees for using online, phone, or non-smail-mail bill payment services. On top of that, they capped rates for seven years at 1992 rates.
Unfortunately, no one was watching what happened to the cost of wholesale energy between 1999 and 2006, so when those caps came off, the price jump was GINORMOUS.
On top of that, BGE made a very LAME CLAIM that by being forced to sell their power generation facilities, the costs of building those facilities was not being recovered, and therefore stranded. They of course, ignored the fact that it was the ratepayers that paid those costs. Given that neither BGE nor Constellation has built a single power plant in Maryland in 30 years, those costs were long ago recovered. But the state bought into it, and $500 million dollars in stranded costs was granted to BGE for the costs of those power plants.
Now, Constellation is claiming that those energy credits -- which were really deferrals for ratepayers -- cost them over $384 million in profits. Please understand that those credits were repaid by ratepayers over the next year. This was not money that was not paid, it was money that was deferred.
Also keep in mind that Constellation HAS NEVER LOST MONEY. NEVER. EVER. EVER. It is one of the most profitable energy companies in the world. Even during the seven years of ridiculously low power rates, CONSTELLATION ENERGY AND BGE NEVER LOST MONEY.
Another key problem: John Collins, CEG's CFO, used to be CEG's Chief Risk Officer. Back then, he sat on both sides of the table -- working for BGE as a buyer who was seeking bids to purchase energy from parent CEG. In fact, that deal worked so well that in the first quarter after the 72.6% rate increase took effect, Constellation's profit rose over 70%.
And now Mayo A. Shattuck wants to sue the State of Maryland. Does this miserable, stupid ratfucker realize he is in effect suing his own ratepayers? In fact, he is also suing the ratepayers of OTHER UTILITIES as well.
Way to go. Brilliant.
Remember that the next time you are watching a football game, and the camera catches the cheerleaders. Because Mrs. Shattuck is down there among them.