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Tiered Rates: 



BPA and the Congress are wise to look at tiered rates as a means of sending the right price 

 signals to energy users about the true cost of developing new energy resources. There are 

 many versions of tiered rates and many delicate issues that need to be resolved. 



Bui isn't it the goal of 'competition' to let true market prices help dictate the choices made 

 by energy users? If implemented, I believe that some form of tiered rates would help 

 alleviate the political pressure in Washington for refinancing BPA's debt It would also send 

 the proper signals to Bonneville's customers in the selection of new resources and 

 conservation programs. 



Vl^vn<^!i^g Services: 



Like tiered rates, energy consumers should be given a range of products and services that are 

 cost-based and free from subsidies financed by other products or services. Over time, 

 energy providers will be able to profit from those services Aey can efGdently provide, while 

 energy users are assured those products and services are provided at the lowest possible cost 



Cross-subsidization is not what market solutions are about Energy efficiency programs and 

 energy products and services all need to stand on their own economic feet 



