"Too expensive" to Prevent Spill?

Submitted by WhitesCreek on January 1, 2009 - 1:03pm.

TVA considered at least eight options to address the leak, according to a Dec. 22, 2003, agency update. Three of the options would have provided a "global fix" to the problem, but high costs were cited as liabilities to pursuing them.

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I don't know all details about TVA's budget...

... and I suspect nobody on this blog does, either.

But I do know that TVA - as much money as they have and spend - is not an entity with an unlimited budget. There ARE things, even good things, that TVA can't do because they can't afford it - just like all of us.

What could they have adjusted in their budget to afford this? I don't know. Does anybody here have that info about TVA's budget?

RB

randyellis's picture
TVA Operating Expenses 2008/2009

Sept. 27, 2007

HUNTSVILLE, Ala. -- Following the direction of the new strategic plan, the TVA Board today approved a 2008 budget that includes $9.7 billion to cover total expenses and $2 billion in capital spending.

August 20, 2008

With cost pressures stretching its resources, the TVA Board today approved a 2009 budget that includes $12.613 billion to cover operating expenses and $2.088 billion in capital investments.

Budget Links below

Link...

Link...

I mighta known :-)

That Randy, being the numbers guy he is, would have some info to share with us! WTG!

RB

randyellis's picture
Forgot this expenditure!

Oct 31, 2008
Meeting in Nashville, board members approved improving President and CEO Tom Kilgore's compensation from about $2.7 million to $3.27 million, effective with the next fiscal year.

Story Link

Link...

It's sad...

... whan a guy can't get a decent living wage, isn't it? (grin)

I don't believe I'd take his job for $3.27 mil! Talk about a target on your back (and front)!

RB

I bet the meeting prior to

I bet the meeting prior to the decision to give Kilgore the raise involved a vote to take the money budgeted to prevent the coal ash spill and move it to Kilgore's benefit package. wink/wink

Now, RV...

... you're crackin me up LOL

RB

When will we learn

Can we afford not to have a "global fix"? Whether it is the dikes on the gulf coast or these ash pools or dozens of other public projects, when are we going to err on the side of caution and avoid mult-million/billion dollar costs to clean up and rebuild what could have be avoided in the first place. This infantile denial that it will not happen to me / us, many times in the face of science that we pay big money for and then ignore the recommendations.
And then there are those who say we still need more deregulation. These people do not understand basic human nature. Someone has to be watching the store, and then be in a position to do something about it.

TVA can't afford what???

TVA is the largest single producer of power in the country.Their revenue in 07 was $9 Billion, they showed a $385 Million (non taxable) profit after paying $48 Million in bonuses. Those numbers alone make it rather obvious what budget numbers could be adjusted for them to "afford" good things like protecting the environment.

They make a total of about $480 Million a year in "tax equivalent" payments to municipalities where they operate. I believe Roane County gets about $1 Million per year from them. That's been a great deal for them...til now.

The reason that these fixes were never done was because TVA sells securities....the fixes would have cost dollars that would have affected their security sales by moving them closer to true non profit status. Many people do not understand that TVA is a hybrid. It is a gov't agency but only sort of.....

The fly ash clean up that they just settled cost them $35 Million for a spill 1/10th the size of this one. After paying the piper here they will most likely have to some serious restructuring.

And I think there's no doubt...

... that they will have to pay the piper here. I'm sure they will undergo several changes due to this incident. If they didn't it would be a travesty.

RB

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