I probably won’t ever forget the ice storm in December. Even a couple of months later, you can drive around town and see the storm’s evidence stacked in people’s yards, broken and trimmed tree limbs piled by the curb awaiting pickup. Even after the final branch is collected and hauled off to the Great Incinerator, the storm’s memories will linger.
It was a tough week in St. Joseph. For folks who live in rural areas, it was a tough month.
Perhaps the toughest thing for me was not to criticize Aquila, especially since I have been a constant critic of the company since executives began running the company into the ground. A few years back, service seemed to grow really fragile (at least in my neighborhood). A strong clap of thunder or nearby lightning strike would disrupt power for hours. I grew to be exceedingly tuned in to weather patterns and read forecasts with dread.
So, when the ice storm hit, you had the feeling that the folks at Aquila played some role in the magnitude of the disaster. Did they replace enough lines? Had they trimmed enough trees? Had they changed out enough old transformers? You suspected that they spent more time the past few years trying to reverse a plummeting stock price and blotting the red ink that bled across their income statements than inspecting the trees in your neighbor’s yard that hovered just above the power lines.
But it was difficult to say (or write) anything critical when workers and tree trimmers were pulling 16-hour shifts and working feverishly to restore power. You were grateful for their commitment, didn’t want them to stop. And besides, you don’t hold linemen responsible for executive decisions.
Well, the ice storm is past.
But, it was a topic of discussion when executives from Great Plains Energy met with News-Press editors to discuss the company’s attempts to purchase the old St. Joseph Light & Power territory from Aquila. Great Plains is the parent company of KCP&L.
Ice storms, summer and fall tree trimming and reliable infrastructure are all concerns as a new provider starts to send electricity to our community.
And, on the surface, it all looks good.
Great Plains Chairman and Chief Executive Officer Mike Chesser said all the right things and assured us that KCP&L was a company sensitive to the needs of customers and shareholders and a company with sufficient resources to make up for years of Aquila neglect. We discussed two items of particular interest to St. Joseph.
First, Mr. Chesser said Great Plains and Aquila have restructured the merger agreement so that Great Plains shareholders will shoulder most of the costs associated with the transaction, not Aquila customers. That’s not to say that your monthly electric bill won’t increase in the near future. Generating power has become an expensive business. But Mr. Chesser assured us that rates would not increase because of this buyout.
In fact, as soon as this transaction is complete, Aquila’s stock actually returns to what’s called “investment grade.” Also, Aquila’s top executives will receive millions of dollars in bonuses — also paid by Great Plains shareholders. Although it sticks in my craw that Aquila millionaires will earn more millions, at least we won’t pick up that tab.
Second, Mr. Chesser assured us that Great Plains would make a huge commitment to St. Joseph and Northwest Missouri. The company would inspect lines, connections and equipment and set up a maintenance plan to replace anything that’s suspect. And it will at least consider providing backup power for the Mitchell Woods Business Park.
Moreover, Mr. Chesser said, no local jobs will be lost, although some Aquila managers and executives in Kansas City will be discharged.
And, yes, KCP&L will negotiate with their tree-trimming contractor to take down more limbs and, hopefully, ensure the reliability of our electric service. It’s likely another ice storm will strike St. Joseph and Northwest Missouri in the future, but I’m hoping that KCP&L can at least limit the damage and that we can recover faster.
Of course, we’ve heard all this before.
Aquila promised great things when it merged with St. Joseph Light & Power. Instead, everything deteriorated.
Everyone will be watching to see if KCP&L can do a better job of fulfilling its promises than Aquila. Let’s hope that the future is as bright as the picture that Great Plains is painting.
Steve Booher’s column runs on Mondays.
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