![]() The consulting team acknowledged the nearly $4 billion difference between the high- and low-cost scenarios is very wide but expected to give the city more specific numbers when the second phase of the feasibility project wraps up in two years.Īt the same time, the consultants said additional financing requirements could tack an additional $1 billion to $1.5 billion onto the final price tag. However, over a 30-year period, the consultants project $6 billion to $15 billion in cumulative benefits, along with customer rate savings of up to 6 percent on the delivery part of a customer’s bill. ![]() ![]() At the end of the introductory chapter of its report, the NewGen team placed a disclaimer in bold that said in part, “There can be no assurances that the (municipal electric utility) will achieve the estimates contained herein, and results may and could be materially different.”Īt the low end of the scale, the report estimated that if SDG&E’s transmission and distribution assets could be purchased for about $2.5 billion, about $3 billion in ratepayer benefits could be realized in the space of 10 years, translating to as much as 14 percent in savings on the electricity delivery portion of customer bills.īut if the assets came to roughly $6.2 billion, ratepayer benefits turn into losses of about $60 million in the first 10 years and rate savings disappear. ![]()
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