Turning the Lights on in Lakeview

A lot of Lakeview folks are upset that, five months after the storm, they're still having trouble getting power to their streets. The problem, of course, is very simple: Entergy doesn't want to spend the money to fix their neighborhoods.

The solution is quite complex, in spite of how clear the problem is. Shortly after the storm, Entergy New Orleans (a wholly-owned subsidiary of Entergy Corporation) filed for bankruptcy protection in federal court. They claim they're not merely broke, but severely in debt. This is indeed the case, on paper, but the entity that's bankrupt has a parent corporation that has more than enough cash to begin the power restoration process. That parent corporation quite clearly does not want to spend the money.

Now, when a corporation refuses to spend capital, it usually means a) they don't see the investment as being profitable, or b) they think someone else will do it for them. Sometimes it's both reasons. In the case of Entergy, it's a bit of both. The company has always had a rocky relationship with the city of New Orleans, going back to when they were New Orleans Railway and Light Company, then NOPSI. The governmental body that regulates Entergy is the City Council. Going bankrupt was the opportunity of a lifetime for Entergy. Bankruptcy gives them a chance to re-negotiate a number of points with the city. If they can get rate and tax concessions from the city, the investment becomes more profitable. In the meantime, they're holding Lakeview and Da Nint' hostage.

Of course, there's no reaason to spend your own money if you think somoene else will do it for you. In the immediate aftermath of the storm, Jay Batt, councilman for Lakeview and Uptown, wasn't going to civic association meetings and working with residents. No, he was walking the halls of Washington, DC. He was with lobbyists and executives of Entergy Corporation, trying to negotiate a federal bail-out of the utility's New Orleans subsidiary. Obviously, his efforts haven't been very successful. It's hard to say why. Is it that Entergy is unpopular on the Hill? Does Batt wear a nasty cologne? Do the Republicans in Congress not want to support Entergy until it's clear that the Evil Coloreds are totally out of the picture? Whatever the reason, it's just not happening.

So, five months after the storm, people in Lakeview with houses valued at $200K+ can't even put FEMA trailers on their lawns because there's no electricity. And just what are Councilman Batt, Rep. Jindal, Sen. Vitter, and the other Republicans these residents love so much doing?

Nothing.

Clearly they haven't taken any action to motivate either Entergy or the feds, otherwise there would be trucks all over Lakeview restoring service. The Lakeview Republicans can't pin this one on Nagin or Blanco. The city's regulatory authority extends only to Entergy New Orleans. Control of the rest of Entergy's interests in Louisiana lies with the Public Service Commission, a body solidly in Republican hands. Federal regulation of utilities in general is in the hands of Republicans. Yet none of these politicians are willing to lift a finger to help their supporters from Lakeview.

You'd almost think Republicans didn't want Lakeview residents to rebuild, wouldn't you?

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