I noticed that the BANGO thread was truncated before I got a chance to say thanks to all those who contributed: General Lee, JC, Adrian Hinds and Anonymous who expressed gratitude and thanks to BANGO for participating in the hearing on behalf of consumers. Thanks to BWWR too for being the first to lend support to BANGO although BWWR dropped out nearing the end.
I think you know by now that if we have it to do again we will do it. We are gaining valuable experience here as Intervenors as our library is increasing in size and information.
The most important thing about our exercise on BU is that it provided an opportunity and a captive audience for sharing the information. Indeed we did get at least two important leads from BU family that made a difference in our presentations.
1. First it was “Questions for BL&P” who commented: “Before his untimely death, Wendell Mc Clean described the last PUB decision on BL&P rates as a huge mistake which would result in the company OVER RECOVERING from the rates set.” This comment was made at a time when we were still trying to figure out the reason for a separate Depreciation Hearing. This led us to Wendell’s contribution in the transcripts of the ’83 hearing. He had a lot to say about depreciation and explained the link between depreciation, tax losses, deferred taxes and corporation taxes, and why the company would not need to go back to the regulator any time soon. I don’t think Wendell foresaw the rapid advance in technology that would have caused them to return pre-maturely. So they did not have to hide-up profits as QfBL&P thought, it was legitimate.
2. Straight Talk declared: “Not according to their published accounts, they are set up as to make a loss and paid no tax for each of the last 10 years.” Actually it was much longer than that and according to Olson’s calculations it is $135M and the reason is that whenever they buy equipment they get a tax incentive. Has nothing to do with whether they made profit or not.
As simple as they were, these two points did a lot to clear the clouds and as a result we were a lot more vigilant. As a matter of fact, there is some information which we did not get but which we requested, albeit late, because of our late understanding or linking of the issues. We started to see by the minute, even down to closing remarks, as issues came up which were not in there and I had to ad-lib some and some I simply left out. The time was too short and I went over by about three minutes.
On the other hand, there is no doubt that Sir Henry was well briefed and articulated accounts as well as engineering with great ease. He had a whole contingent of about a dozen resources people from the BL&P that could explain things to him in a flash and he was right on it.
Thanks again, David. Anytime you think we can work together, I am ready. By the next hearing we will sure have a lot of video capacity to stream and for sure, we will arrange the internet access long beforehand.





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