A FERC price cap could be the most effective method of stabilizing the price of electric power. Community colleges should consider asking their federal and state representatives to push FERC for an immediate cap. Part of the repayment will come from customers' electric bills. However, the bonds may not be enough to finance wholesale power purchases for the rest of this year, especially if summer prices increase considerably. Should the bond issue not raise enough funds to cover the entire cost of wholesale power, the state would be forced to issue additional bonds, pay for energy from the general fund, or ask the PUC to raise rates again.
Many legislators feel that it makes no sense for the state to own only part of the power grid.
Additional state revenue bonds will likely be issued to pay for any of the purchases. Repayment of these bonds will also come from a specific charge on customer bills, further raising rates. First, an immediate rate hike. Final approval of how this rate increase will impact each customer class will not be made until June 1. The increase is likely to be retroactive to March 27.