IN THE ADJOINING COLUMN ARE TWO LETTERS ADDRESSING THE STATE energy crisis. One, from an academician, rips California for proposing more government to solve a problem that government created in the first place.
The other, from California Chamber of Commerce President Allan Zaremberg, is a tortured attempt to steer the state away from policies that would hurt businesses, while being careful not to offend the powers that be. Check paragraph 3: “The California Chamber is working with the Legislature and the Davis Administration to ensure the business perspective is well understood ”
And so it goes in the energy crisis. Criticism and even contempt has rained down on Gov. Gray Davis, the Legislature and the Public Utilities Commission from an array of wonks, market analysts, power industry players, ideologues and out-of-state observers. Meanwhile, inside California, business interests with much at stake keep mum about a possible government electric monopoly or other potential disasters. Privately, business leaders express alarm at Davis’ handling of the crisis. Yet in public they utter nary a sharp word, much less a protest. They strive to be cooperative.
Orange County’s business community has been no exception. In mid-February, an executive contingent put together by the OC Business Council met privately with Davis in Santa Ana, after being kept waiting for an hour at the tail end of a fundraiser. Understandably, the local group’s overriding objective at the time was a narrow one, to impress on the governor the need for relief from the state’s “interruptible” energy program. The rest of the session mostly involved a lecturing governor and the deferential local contingent discussing ways that businesses could conserve energy; the governor noted that Mrs. Davis had put low-voltage light bulbs throughout the governor’s mansion.
Did any participant in the meeting confront the governor on any aspect of the energy crisis or even politely suggest alternative policy approaches? No. When one exasperated manufacturer told Davis that his company had done all it could do to conserve electricity, Davis deflected the remark, telling the executive that his company should share its energy-saving tips with state officials so they could be posted on a Web site.
The California Chamber likewise has gone to extremes to duck confrontation. Asked last week whether it opposed Davis’ plan for a state takeover of the utilities’ transmission lines, a spokeswoman said the question was premature because the details of a proposed takeover were not yet known. But no, the chamber did not have a blanket objection on principle, she said.
I can speculate on the reasons for all of this. An obvious one is that businesses fear reprisals if they criticize the state’s Democratic leadership. This is what comes from one-party rule.
Related to this is the failure of the Republicans, such as they are, to present a coherent alternative. Secretary of State Bill Jones, the only statewide GOP officeholder, appears afraid to touch a live wire. Senate Republican Leader Jim Brulte is handicapped by the fact that he proudly co-authored the now discredited “deregulation” bill. Orange’s Assemblyman Bill Campbell is a business advocate who might have led a counter-offensive, but he also is a conciliator who wanted to help the state by helping the governor, which helps to explain why he is now his party’s former Assembly leader.
The state Chamber, too, is weighed down by baggage. After all, businesses “got what they asked for” with electrical deregulation, the Chamber traditionally has been close to the electric utilities and Zaremberg was a top gubernatorial aide to dereg patriarch Pete Wilson.
Yet, despite the open field that his potential critics have left him, Davis may be losing ground in his bid for the transmission lines. Lawmakers are said to be souring on the idea of overpaying reluctant utilities for an aging grid; the leftists who hold sway in Sacramento may be crazy, but they’re not stupid.
So “public power” is one bullet the business interests may dodge. But if they aren’t going to stand and fight, they’d better keep dancing.
