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Real deregulation would avoid the politicians' having to get involved in such fractious issues as how to treat "stranded costs, " i.e.
FORBES: Fact And Comment
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Stranded costs are those investments made by utilities which are expected to become uneconomic when competition is introduced and rates begin to fall.
ECONOMIST: Chopping up America’s power | The
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FERC, the Energy Department and various key congressmen, have accepted the argument that there should be some sort of compensation for stranded costs.
ECONOMIST: Chopping up America’s power | The
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They could let the markets force companies to adjust their prices and their stranded-costs policies.
FORBES: Fact and Comment
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The modules also can be redeployed as needed, thus mitigating the risk of a fixed installation by eliminating stranded infrastructure costs.
WSJ: GE Unveils LNG In A Box(TM) System; Gasfin Selects New Technology for Fueling Stations in Europe
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These numbers are made up for demonstration purposes, but whenever an airline cancels a flight that they are not obligated to incur costs for in terms of stranded passengers, and flies them later on existing flights, they reduce their operating costs while still capturing the revenue.
FORBES: Making Bad Travel Worse: Did Airlines Cancel Early For Hurricane Sandy?
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Were the industry to think things through and conduct its due diligence on this treaty, it would also be self-evident that LOST will impose severe costs on American oil companies, leaving the consumer stranded at the pump with even higher gasoline prices, after having been led to believe that salvation lies beneath the polar ice.
CENTERFORSECURITYPOLICY: LOST oil prophets