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WPL likely to file emergency rate request

By ASSOCIATED PRESS   Thursday, January 22, 2009 - 8:42 a.m.
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MADISON, Wis. (AP) — Wisconsin Power & Light is expected to file an emergency request to raise rates because the recession has reduced its revenue.

The chief executive of WPL's parent, Alliant Energy, projected WPL's sales will drop 6.4 percent this year, or $30 million. Because of that, Alliant CEO Bill Harvey says they "will likely file an emergency rate case" to the Public Service Commission.

Just last month, the Madison utility agreed to hold electric rates steady in 2009 and reduce natural gas rates by $4 million. Harvey says the rate settlement was based on 2007 figures.

WPL is losing two top energy consumers — the General Motors plant in Janesville and the Domtar paper mill in Port Edwards.

Harvey says WPL is "sharing the pain" felt across the utility's service area, which includes central and southern Wisconsin.




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(72)
rocket21
Feb 11, 2009 at 8:05 p.m.
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Hey get this.
The spokesperson for our beloved Gov. Jim Doyle is none other than Linda Barth. Guess where she came from?
Yep, the PSC!!! Think Mr. Doyle will listen to any of us?? Guess again.
I wrote to her back in 2004, when she worked for the PSC, about the profit that Alliant makes each year and why the PSC aapproves the rate increases and the profit projections. She emailed me back and stated that Alliant deserves to make a profit just like the private sector! SAY WHAT??? The PSC almost gaurantees Alliant a profit. Where else (besides Wall Street and the Banking Industry) does that happen???

rocket21
Feb 5, 2009 at 8:29 a.m.
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Let's face it; we are all screwed!
If we all cut back on our energy use, like we need to, Alliant will not make as much profit and they, with the help of the PSC, will raise our rates! If we consume more energy, which we do not want to, they will not raise the rates. Yeh right!
It is a lose - lose situation; for us the consumer!

RoadKing
Jan 29, 2009 at 8:38 a.m.
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I got a reply from the PSC too. I asked to be put on their mailing list in case Alliant/WPL decides to go through with their rate hike. WPL should follow WE energies lead and refund money instead of raising rates because NG is at record lows. http://www.jsonline.com/business/3856128...

ncpanfan
Jan 26, 2009 at 2:06 p.m.
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I got letters from both. The PCS said if they get a request they will be thorough in their decision, bla bla...

RoadKing
Jan 25, 2009 at 8:30 a.m.
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http://directory.usayfoundation.org/WI.h...
Here's a link to the directory of senators and representatives for Wisconsin. Click on their name (not contact info) to get to their website. Let's see how much our elected officials are actually willing to do something for us.

RoadKing
Jan 25, 2009 at 8:07 a.m.
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http://psc.wi.gov/
The governors office sent me a letter for the independent regulatory agency in charge of "serving public interest". The above link is to their website. Click on the comments to add your opinions. It will show up as a complaint so it will probably go right into the trash but I felt a little better speaking my peace. Governor Doyle, in so many words said he won't do anything about this - in other words passed the buck to this commission. I will be interested to see if the PSC is as self serving as Alliant or if they will pass the buck like Doyle. Did anyone else get a letter from the Governors office or comments back from Alliant's customer care?

factcheck
Jan 23, 2009 at 5:24 p.m.
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Do utilities still have to pay a set rate to their shareholders like they used to?

rep_of_1
Jan 23, 2009 at 12:36 p.m.
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Captain...:If we turned off there utilities they would find some where else to live.I will prepare for all the liberals to slam me now because I don't want to pay for free loaders.
Electricity and gas is a privilege not a right. Shelters are available to keep people from freezing to death. Darwinism sorts the ones that freeze to death and the ones that go to the shelter.

captainkangaroospingpongballs
Jan 23, 2009 at 11:25 a.m.
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Maybe the increases in rent, reduction of jobs, property taxes, and $500+ heat bills will cause some of the lower-to-no income residents of the State to move somewhere else. Alliant and the State's services can be reduced to a reasonable size. Our crime would go down, gov. assistance payments would go down, and our taxes would pay for things much more beneficial to all residents of the State of Wi.

whoanellie
Jan 23, 2009 at 9:59 a.m.
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I went to a number of these links and let them know my feelings on this. I hope it does some good, but sometimes it's useless. We are being punished for the company's own stupidity! They knew as well as us that Gm would be closing and as a result, so would alot of other companies. This just rings of Fat Cat wanting more and taking it anyway they can!

becca_48
Jan 23, 2009 at 9:20 a.m.
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frusion- you sound as tho you work for the power company. We know we have to pay for power and light, but we shouldnt have to pay more because GM has shut down and they arent getting enough money. We are in a recession and Rock County has the highest unemployement rate in the state. This is not the time to raise rates!!!

EMMO46
Jan 23, 2009 at 8:52 a.m.
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Hmmm...this is an interesting twist. WP&L wants to raise our rates so that they can refund money to us?

"WP&L to refund $18 million to utility customers"
By Thomas Content of the (Milwaukee) Journal Sentinel

Posted: Jan. 22, 2009

Customers of Wisconsin Power & Light Co. will receive a onetime credit totaling $18 million on an upcoming bill, the Public Service Commission decided today.

The refund was approved because of the steep drop in the price of natural gas since last summer, when the utility received permission to raise electricity prices, the commission said.

For the typical residential customer, the credit will be about $14.

Wisconsin Power & Light, based in Madison, serves 453,000 electricity customers across southern Wisconsin, including parts of Dane, Kenosha, Walworth, Winnebago, Fond du Lac, Dodge and Sheboygan counties. WP&L is a subsidiary of Alliant Energy Corp. (LNT) of Madison."

janesvillecomments
Jan 23, 2009 at 8:47 a.m.
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https://www.sendd.com/~webdrop/ezproxy/2...

page 26 of 48, of the PDF file. Harvey got $3.8 MILLION DOLLARS MORE last than the year before in compensation. Tell the PSC "No more fat cat salary packages for ulilities that serve regulated markets where the customers don't have a choice of providers." Let's have free market utilities and Alliant Energy can operate like General Motors or it can operate like Toyota and let the consumers decide whom they wish to buy power from.

ck4228
Jan 23, 2009 at 8:24 a.m.
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WHAT ABOUT LAYOFFS LIKE EVERYOTHER COMPANY HAS TO DO WHEN THEY OVER EXTEND.

frusion
Jan 23, 2009 at 7:22 a.m.
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BalancePoint--I'm wondering where you get your facts? Muni's are not as simple as you make it sound. Sure, there are places like Argyle that have lower rates but it's economy of scale. You will not find a city the size of Janesville that can operate for less than Alliant can provide service. If Janesville went that route, they would need to staff way up on highly skilled workers, purchase or lease vehicles, equipment, and tools, and add another department that would be run as efficiently as other city services are. I've studied the utility industry and aside from big CEO salaries,companies like Alliant are run by good people. For those of you that think they are a rip-off and can do whatever they want, think again. Wisconsin has a noose around the profit margin they are allowed. Someone mentioned MG&E is cheaper? It all comes out in the wash. Take a look at their construction rates. They are the highest in this region. Utilities are like death and taxes. You want lights and heat? You have to pay for it.

ozzman99
Jan 23, 2009 at 6:55 a.m.
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So this is the thanks I get for doing everything I could to conserve energy use and lower my environmental footprint. Higer rates because I did what what was in the best interest of my wallet and the environment and cut consumption. I guess your damned if you do and damned if you dont.

Guardians_of_the_Planet
Jan 23, 2009 at 6:19 a.m.
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We are all already paying energy welfare for deadbeat customers. It's called the "State-Wide Low-Income Assistance Fee", and you are paying 3% of your electric bill for the utility to recoup losses for the customers that do not want to pay for the utilities they consume.

I spoke with the Public Utilities Commission to ask what gives the utilities the right to charge us for goods/services that we do not receive or consume.

This "energy welfare tax" was approved by our beloved state government, who as we know do not have calloused hands, get up in the wee hours to go to work, or are even concerned about "the little people".

This was approved by OUR government...in their own world of long lunches, (on the days they do show up for work), state provided cars and planes, kickbacks from big business, (also known as campaign contributions), and voting each others salary increases.

NOW THEY WANT US TO PAY FOR ANOTHER BAILOUT !!!

Now we are paying for another charity that we cannot claim on our taxes.

It's time to flush our present state government, and start over.

Repeal the "State-Wide Low-Income Assistance Fee" for a start.

Then we can work on other problems. Like welfare baby farms, un-insured drivers, repeat drunk drivers, emergency room health care plans for illegal aliens.

Send me an email if you’re tired of paying other peoples bills. We need numbers to fix this.

thediplomat
Jan 22, 2009 at 11:11 p.m.
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This is stupid. So the consumer has to pay for their poor investments and the closing of two plants? That is bullsh*t. They buy and sell power all year long. Guess they don't have to buy as much power now from other companies. And if you still need to cut costs, lay off workforce before making the consumer pay more.

joeflint
Jan 22, 2009 at 10:01 p.m.
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This is rediculous.

frusion
Jan 22, 2009 at 8:23 p.m.
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rep_of_1----slight clarification: electric in 4 states and gas in 2.

truth1
Jan 22, 2009 at 7:14 p.m.
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Lets see....
.......the price of fuel goes down, but the power company still finds an excuse for a rate hike.....

gretazzie
Jan 22, 2009 at 7:09 p.m.
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Employees have already been told budgets are getting cut this year and to do what they can to help out; sure hope another $8.4 million bonus gets turned down or put toward this rate increase because the average folk can't take another hit to their wallet but Mr. Harvey could cut his budget.

xomirenda
Jan 22, 2009 at 5:59 p.m.
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December 18, 2008: Today, the PSC (Public Service Commission)ordered that there will be no increase in electric rates and a slight decrease in gas rates for Wisconsin Public Service Corporation (WPSC) and Wisconsin Power and Light (WP&L) customers in 2009.

The statement (follow rocket's link to read) specifically states that they made the decision based on the economic turmoil of the state. It also specifies that the lower demand for oil has reduced the price therefore, basically eliminating the need for a rate increase.
How can they request an emergency rate increase 35 days after the PSC says they don't have a justifiable reason?

miltonalum
Jan 22, 2009 at 5:25 p.m.
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preach and preach about conserving energy and being "green" so people are, now they raise the rates as a reward for consuming less energy as a whole? f#$% you WPL.

tguy
Jan 22, 2009 at 3:33 p.m.
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Your right Gary . We`ve been told to find ways to conserve energy. We use less gas and what happens? The oil companies are crying they have to lay off people because we aren`t using
enough oil. Dah!! isn`t that the whole idea?
Now WP&l isn`t making megabucks because we`re
not using enough electricity Poor WP&L.
We can`t win if we use to much the prices go up.If we use to little the prices go up.

rocket21
Jan 22, 2009 at 3:15 p.m.
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rocket21
Jan 22, 2009 at 3:11 p.m.
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Contact the PSC. They have to approve such an increase: http://psc.wi.gov/apps35/complaint/consu...

usaret
Jan 22, 2009 at 2:49 p.m.
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Went to check out Allient and found out that they are looking forward to raising their dividend pmt by 7.1% If they are so strapped for cash, how can they raise that pmt? Is this the real reason they need an emergency rate increase?
Have sent an e-mail to the Gov. Don't honestly believe it will do any good but did get it off my chest.

rooster
Jan 22, 2009 at 2:41 p.m.
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wpl is cashing in on the big boob aka. the usa. everybody wants their chance to drink from uncle sams fountain and with that the recession will deepen.

xomirenda
Jan 22, 2009 at 2:31 p.m.
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Thanks for the link RoadKing. I sent a message.

imatim2
Jan 22, 2009 at 2:09 p.m.
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Where'e Bush and Cheney when we need someone to blame?

PanamaRed
Jan 22, 2009 at 2:07 p.m.
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Go the the following web site http://www.jsonline.com/watchdog/dataond..., and type in Alliant Energy. There you will find that Mr.Harvey, CEO of Alliant, was compensated $8,354,512.00 for his services as reported in the latest proxy filings with the Securities and Exchange Commission. How long will WE continue to allow corporate executives to reap millions while we, the taxpayer, (or in this case, captive consumer) continue to bail out publicly traded entities. Anyone can go online and find out what Corporate Executives are earning at each company they own in through their Mutual Funds or as individual Stocks. As a stockholder you have a percentage of ownership, and a voice, in how that company is operated. Look for the proxy statements and vote with purpose. Let those companies know when you believe the CEO is being unfairly compensated. Governor Doyle didn't set Mr. Harvey's salary, nor does he have control over the rates. If you have a problem with Alliant, THEN CONTACT ALLIANT and their Board of Directors, not Governor Doyle. If you are too lazy or don't care what you pay for utilities then do nothing, but then don't bother complaining either.

ncpanfan
Jan 22, 2009 at 1:55 p.m.
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In Beloit the city took over our water which was supposed to be cheaper but it has indeed cost more to pay the city than what it cost us to pay Alliant.

butterflyangel
Jan 22, 2009 at 1:51 p.m.
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ex GM workers beware. i am sure that this is your fault! it always is. all the drinking that happened down there is now affecting our power bills. (sarcastic) BLAME IT ALL ON GM NOT THE POOR PEOPLE WHO NEVER PAY THEIR BILLS

gixxer
Jan 22, 2009 at 1:40 p.m.
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So here we go again another rate increase,seems not to long ago they just received a rate increase inwhich shortly afterwards they gave away a little over a million bucks to some charity bett that made a good little tax write-off. So who's next inline for a hand out certainly not us.

sahmama
Jan 22, 2009 at 1:30 p.m.
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This is pathetic.

momof5
Jan 22, 2009 at 1:15 p.m.
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This is only the beginning for those who said that "GM's closure won't affect me." I find this fleecing and exploitation to be outrageous. Madison Gas and Electric charges their commercial customers anywhere from $4-$8 per MONTH to pay for the RESIDENTIAL customers who don't pay their bill or have it subsidized in other fashions. I have two businesses in Dane County. One is powered by MG&E, the other Alliant Energy. MG&E is the only one with this ridiculous charge although MG&E is easier to deal with, more friendly and more efficient (and cheaper).

I don't care who your utility company is, they are all crooks and none are better than the other....it all ends up to be a wash...and a dirty one at that!

beeferer
Jan 22, 2009 at 12:46 p.m.
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Did anybody send Doyle a link to this discussion page?

rep_of_1
Jan 22, 2009 at 12:45 p.m.
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Balancepoint: Alliant is not the middle man. Alliant would like you to increase your reliance on energy. Alliant Energy's utilities, Interstate Power and Light (IP&L) and Wisconsin Power and Light (WPL), provide electricity to 980,850 customers and natural gas to more than 410,260 customers in four states; the utility operations also own power plants that generate some 5,600 MW of capacity. Nonregulated operations include rail and marine transportation services, independent power production (including wind farms), and real estate. Alliant Energy also provides engineering, consulting, and management services.
The city could buy power from Alliant who owns WPNL but I highly doubt the line maintenance and start up cost would be competitive or cheaper.

BalancePoint
Jan 22, 2009 at 12:25 p.m.
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Talk to City Officials/Council about having a "City" utility company. The City would buy the electricity, and get it to homeowners - Alliant is just a "middle man", buying power and marking it up - the City could do the same thing. Cities with their own electric utility have way lower bills and are not subject to "for profit" company crapola.

rexkramer
Jan 22, 2009 at 11:41 a.m.
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No problem, I'll just go to my employer and tell them I need an emergency pay increase because Alliant is raising my rates. Oh, that's right, I live in REALITY, so I can't just fleece anyone I want, whenever I want like the government and the utility companies can. I have to actually live within my means, which basically means I can keep doing more with less while the politicians and utilities bend me over the sink.

cozat5
Jan 22, 2009 at 11:35 a.m.
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Call Doyle call whoever you want in public office. They WON'T do ANYTHING until it becomes crystal clear to them that it will effect them personally.

sannio
Jan 22, 2009 at 11:27 a.m.
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Janesville is raising our water bills for the same reason (GM is gone), so complain about that, too.

rule1999
Jan 22, 2009 at 11:27 a.m.
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Alliant and WP&L are the same company to those of us in WI

SarahB
Jan 22, 2009 at 11:23 a.m.
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Can somebody explain this system to me? My bills read Alliant Energy and, according to the article, Alliant is the parent company of Wisconsin Power & Light. So, will I see this proposed increase or not?

tinkerb45
Jan 22, 2009 at 11:20 a.m.
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Can't we just keep heating the empty GM plant and let Obama pay for it (lets just call it a bailout). Believe me, the government has done dumber things.

spark
Jan 22, 2009 at 11:10 a.m.
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Don't panic everyone. They will come out with a new pamphlet on how to save costs on your heating bill once prices go up. It will include such tips as, use a portable ice shanty in your living room, wrap your entire house in saran wrap and use your couch pillows as kindling. These tips will need to occur in order to keep your house warm because your thermostat will need to be set at 50º in order to keep your bill below the $300 mark.

cappyman
Jan 22, 2009 at 11:08 a.m.
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roadking: thanks for the link also. i think everyone who has time to comment here should write the gov. this foolishness needs to be stopped. the little guy needs to fight back now more than ever.

marymac4
Jan 22, 2009 at 11:07 a.m.
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The price of fuel is down now they gained enough when it was up!!!!!!! wah wah wah is all you get from the monopoly of this company Janesville needs a choice of power and light carriers in our area........ The little man will be defeated if this type of BS is given into every time they ask for a hike that is not needed. My company is slow are they going to pay us when we are down......What has alliant done to conserve at their end have they cut unneccessary wages or taken a pay cut? With the way my bill looks they cant be losing to much, as Im going broke on my end. My heat cant be any lower in my home i would have to pay the high medical bills if I lower it anymore, for severe hypothermia.....

jviers77
Jan 22, 2009 at 10:58 a.m.
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RoadKing...thanks for the link. I just sent my e-mail to Gov. Doyle's office.
*
Instead of just complaining, I propose a simple solution to Alliant and WP&L to increase revenue during these difficult times...How about if all Alliant and WP&L brass cut their own wages for a specified period of time to offset the loss of revenue? Maybe reduce their salaries to the same as an "average" company employee? I could live on that, I'm sure they could find a way to do it.

jviers77
Jan 22, 2009 at 10:43 a.m.
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Just because their revenues are going down doesn't mean we should have to pay more than the energy is worth so they can keep paying their CEO's and managers absurd salaries. What a bunch of BS. Maybe the fat cats could give up their summer houses and luxury cars. They'd still be doing better than the majority of us. I hope their request is denied.

rusty
Jan 22, 2009 at 10:36 a.m.
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I "love " it. WP&L tells us to cut back on our energy usage but then cry's that they're not making enough so they raise the rates. It's like we're being punished for conserving!

usaret
Jan 22, 2009 at 10:35 a.m.
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Never fails. The tell you how to save and cut costs so energy won't be expensive. You apply the guidelines, buy the new type light bulbs, close off drafts, etc., etc., and then just when you might see a dollar savings, up and behold if the company asks for an emergency rate increase.
We use less, their costs should go down. Sorry they loss the funds from two large business's, but that is no reason for a rate increase. Please note (if these two get back in business, will they call for an emergency rate reduction?)
I was always under the impression that if we conserved energy we all gained. Guess conservation has become a new word for greed by a few industries.

beeferer
Jan 22, 2009 at 10:25 a.m.
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OK, I wrote to Jim Doyle. I got the automated response right away, but I expect a letter from him in the mail as he has sent me replies many times in the past. His words usually express kindness and sincerity which helps a little- kind of like when your mom would kiss your knee scrape and make it "all better." But it's going to take a lot more than a kiss on the knee to fix this mess.

getabike
Jan 22, 2009 at 10:17 a.m.
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A large number of people are finally sick of being nickled and dimed to death. They are finally rising up and hurting these companies where it counts, their bottom line. I've never seen or heard so many people who are refusing to pay their bills, even if they are fully capable. They are sick of paying for all these things (new car, big house, flat screen tvs, clothes, etc.) that they thought would make them happy, but didn't. They're sick and tired of being stressed out every time another bills comes. To rub more salt in their wounds, they see all of these companies getting free rides at the expense of the taxpayer. So They are fine with starting all over (via bankruptcy) and beginning a cash only lifestyle, even if it means living with less. Is it right? No! But it's only going to snowball as this scenario becomes more and more socially acceptable. And as more and more companies put the pressure on us to make up for the people who stopped paying/caring, you're only going to make matters worse! These are scary times.

garyprimer
Jan 22, 2009 at 9:32 a.m.
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I thought that conserving energy was supposed to save us money.

2xloser
Jan 22, 2009 at 9:24 a.m.
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I would certainly hope that the Public Service Commission demands that WPL's surplus be used instead of raising rates in this economy. WP&L will have to hire more people just so they can shut off power to homes of those that already are having a tough time determining what bills to pay first.

bignik
Jan 22, 2009 at 9:23 a.m.
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Why not tell Alliant CEO Harvey to take a pay cut, or less of a yearly bonus incentive!!!!!!!!! STOP THIS NON SENSE NOW!!!!!! What more are we going to do to stop this pain for the average consumer. None of us normal wage earning, hard working (if your lucky enough to have a job), tax paying citizens can afford more of this garbage

fishingal
Jan 22, 2009 at 9:23 a.m.
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I work in sales. My profits are down, so does that mean I should charge my currect customers more? Just so I can keep my own wallet fat? I don't think so.

rep_of_1
Jan 22, 2009 at 9:18 a.m.
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Let me get this correct it's going to cost the home owner more for Alliant to produce less power by about 1%? We couldn't find a buyer to sell our excess power to? Nothing like sticking it to the working man when times are hard.

RoadKing
Jan 22, 2009 at 9:12 a.m.
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Tell the governor how you feel about Alliant not providing proper lubricant http://www.wisgov.state.wi.us/section.as...

376905
Jan 22, 2009 at 9:06 a.m.
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Those poor multimillion dollar cmopanies. Guess i will have to cancel my trip to bremuda so i can make sure they dont go out of business. Oh wait I ment the grocery store.

Ilovehockey
Jan 22, 2009 at 8:58 a.m.
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Yep, they're sharing the pain, but yet we are the ones who are going to pay for it!

ChevyChugg
Jan 22, 2009 at 8:53 a.m.
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This is a prime example of why utilities should be government agencies.

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