Despite price increases, consumers have not decreased their demand. Unlike other products, electricity is not replaceable. For example, if the price of peaches goes up in the winter, consumers buy apples instead. But with electricity, there is no alternative, Taylor explained. Natural gas is transported through pipelines which must go either over the Rocky Mountains or through other private areas.
Many people oppose pipeline proposals, making transportation of the gas more difficult.
In his State of the State speech last week, Davis pointed a finger at the current energy regulations. California's deregulation scheme is a colossal and dangerous failure. It has not lowered consumer prices. It has not increased supply. In fact, it has resulted in skyrocketing prices, price gouging and an unreliable supply of electricity.