Discharge NY

Discharge, NYState Senator James Seward is touting the senate approval of the "Recharge NY" program, which allocates low-cost power to "help businesses create and retain jobs."

The original “Power for Jobs” program began in 1997, when Seward was chairman of the senate energy committee, and has been extended on a year-to-year basis the past five years.  It currently provides low cost power to about 500 businesses.  The new program would provide twice the wattage (sic) and businesses participating in the program would receive seven-year commitments for their allocations of low-cost power.  There would be no cost to the state for this program. 
There is, of course, an opportunity cost for this program... allocating resources arbitrarily without market price signals always results in misallocation of resources.
The bill is supported by the Business Council of New York State, the New York Farm Bureau, NFIB, the Manufacturers Association of Central New York and Environmental Advocates.
The program also perpetuates the idea that the way to get your goodies is to lobby state government for it.  It increases the power of politicians and inevitably increases the size and cost of government.
 
It's hard to be disciplined when others seem to be getting benefits for discharging free stuff (and we know who is really paying for it).  But leaders need to forgo these tactics, cut the taxes and the size of government, and let the market work.

Comments

Comment: 
"The program also perpetuates the idea that the way to get your goodies is to lobby state government for it." Exactly.