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Court: Kemper approval not based on ‘substantial evidence presented’

March 15th, 2012 No comments

The Mississippi Supreme Court ruled 9-0 Thursday afternoon that the Mississippi Public Service Commission’s decision to allow Mississippi Power Co. to build a lignite coal-fired power plant in Kemper County was not supported by “substantial evidence presented,” as mandated by statute.

The Sierra Club had sought to halt the project in Harrison County Chancery Court, which ruled in favor of the company. The Sierra Club appealed that decision to the high court last year.

The PSC voted 2-1 to allow the project to proceed. Northern District Commissioner Brandon Presley was the dissenting vote.

“I think this puts us back to square one,” he said, referring to the Supreme Court’s decision to remand the case back to the PSC for further proceedings. Presley said the Commission was checking with its legal counsel to see if MPC had to halt construction, which started last year. He added that MPC had alerted PSC monitors last week that it anticipated cost overruns on the project.

Opponents of the project argued from the outset that the technology MPC planned to employ at Kemper was unproven, making the $2.88 billion plant an enormous risk for the company’s ratepayers, who would pay for construction with increased power bills. The company revealed in filings with the PSC that, on average, power bills would rise 45 percent.

I have a phone message in to MPC spokesperson Cindy Duvall. If and when she responds, I’ll post it.

UPDATE: Duvall just responded via email. “We have received the Mississippi Supreme Court’s order and are presently reviewing it,” she wrote.

Bentz, Presley agree: AT&T oversight removal bill bad business

February 24th, 2012 1 comment

The Mississippi Public Service Commission is not particularly known for agreeing on a whole lot.

The opposite of that is true when it comes to House Bill 825. The bill, filed by Rep. Jim Beckett, R-Bruce, has been referred to the Public Utilities Committee, which Beckett chairs.

What the bill would do is essentially remove a lot of functions AT&T performs from PSC jurisdiction. Television and radio stations already enjoy this exemption. The legislation would extend it to AT&T, and shift that oversight to the federal government. That’s the simple explanation, anyway.

Commissioners Leonard Bentz, a Republican who represents the Southern District; and Brandon Presley, a Democrat representing the Northern District, both have issued lengthy statements that generally paint the bill as one of the worst ideas to circulate around the Capitol in some time. That’s significant, because Bentz and Presley don’t see eye to eye all that often.

Presley called it a “corporate wish list.” Bentz said it would make AT&T’s customer service operations — which have become infamous for their ability to frustrate customers — worse.

One thing is certain. Beckett, since he wrote the bill, will surely air it in front of the Public Utilities Committee. You can bet there will be some lawmakers who hear from folks who don’t like this.

Statements in full from Bentz and Presley:

Public Service Commission Chairman Leonard Bentz announced today his opposition to HB 825, which would remove all oversight which the Mississippi Public Service Commission has over AT&T.

 “This is a very bad bill for consumers in Mississippi,” Commissioner Bentz stated. “Even though AT&T will tell you that the oversight that we [PSC] have is limited, the little we do have is piece of mind for the consumers.”

“You don’t have to think very long to understand why this bill is bad. Think back to last time you called in a problem to AT&T and the lack of customer service you received. This bill would make it worse. It is important to understand AT&T will lead you to believe this bill will affect only a small number of customers, but that is not so. As it stands right now, all customers with AT&T have the ability to file complaints with the Public Service Commission, and have the PSC on their side to help them navigate the system. The bill clearly states customer appeals will be removed from the PSC jurisdiction.

“Further, AT&T states they are at a competitive disadvantage. How can you be at a disadvantage when you own more infrastructure and receive more Universal Service Fund monies than any other telecommunication company? The bill would also limit the Commission’s oversight of the Universal Service Fund. This is a critical fund in which AT&T receives monies to invest in their infrastructure. In the proposed bill this would give the oversight to the federal government,” Bentz added.

“The avenue for customer complaint appeals to the PSC will also be removed. I guess if a consumer had a complaint they could call the Federal Communications Commission (FCC).  If AT&T can explain to me how this bill will build better customer service by calling a Washington bureaucrat versus an elected Mississippian, I will be their biggest cheerleader,” Bentz said.

“I hope legislators reviewing this AT&T bill (HB 825) will contact the PSC and give us an opportunity for input. AT&T employs great employees in Mississippi and I am sure they will tell you AT&T has become more and more like a corporate run robot organization. If AT&T wants a competitive advantage, I have three recommendations. Provide a quality service, listen to your customers and treat your customers as clients. And that does not take any legislation to accomplish.” Bentz concluded.

And here’s Presley’s:

Public Service Commissioner Brandon Presley said today that House Bill 825 would totally strip the PSC of any authority to hold AT&T accountable for rate increases and lousy landline and cell phone coverage. Presley said the bill was requested by AT&T as retaliation against the PSC for denying a rate increase and for complaining of poor cellular and residential phone service. The PSC won a case in the Mississippi Supreme Court to limit charges to customers after AT&T appealed the PSC’s ruling.

“This bill is a corporate wish list that gives AT&T the permission to run over and take advantage of every single customer in Mississippi and no one can say one thing to them about it.” Presley said. “Complaints against AT&T have gone up dramatically over the past few years, yet this bill rewards them by taking the cop off the beat that is there to protect customers”

“It is hard to believe that the Legislature could honestly think that a company with such a terrible track record should be taken out from under the PSC’s authority” Presley added.

Presley said the Legislature passed the first phase of deregulation in 2006 an since then complaints to the Commission about billing errors, poor service and the like have risen from 1,735 in 2006 to 4,361 in 2011 an increase of over 150% .“This is evidence enough of why this bill is bad for consumers”.

Along with removing all of the Public Service Commission’s authority to investigate abuses, extortion and customer complaints, House Bill 825 also removes the Commission’s authority to designate conditions for AT&T’s receiving of millions in federal funds to promote rural cell phone service. Presley said the Commission’s authority to place conditions on those dollars has been the main tool to increase cell phone coverage in rural counties. “Rural Mississippi’s interest are gutted in this bill.” Presley said.

Presley said there should be extensive hearings held on this matter. “AT&T and their high paid lobbyists are spreading lies all around the Capitol, the Legislature should listen to the regulators who are here to protect the public.”