From a political perspective todays decision did not come as surprise to LIPA observers. The ServCo Structure was pre-ordained to be the selection of LIPA Board members from the first day it was proposed as a means of doing the same….only differently…With that being said, what is unfortunate is the reasoning behind the decision.
“board members said the benefits for the service company model (ServCo) far outweighed other options”
The very basis for the LIPA Boards decision was the Brattle Report. This report does not depict the ServCo structure as having any benefits that would outweigh the other options other than privatization, which it is believed most would agree. Therefore the question must asked if there are no tangible factual benefits in the Brattle Report there must be the unwritten political benefits that far outweigh the other options, those benefits un-fortunately will never be spoken outside the confines of “non-transparent” board room for the ratepayer to hear.