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NEW YORK, Aug 19: First Energy Corp., a major supplier of electricity, is facing a class-action suit seeking damages in connection with an initial failure that triggered the biggest blackout to hit the north-east US.
Filed in an Ohio district court, the suit names as plaintiffs all persons and companies who suffered financial damage from the blackout on Thursday. A value was not placed on damages claimed in the suit filed Monday by the law firm of Cauley, Geller, Bowman and Rudman.
In New York City alone, damages were estimated in excess of one billion dollars by the city’s comptroller, William Thompson. Other major cities affected included Cleveland, Ohio; Detroit, Michigan and Toronto, Canada. Portions of eight US states and Canada were affected.
The suit accuses First Energy of causing the massive blackout through irresponsible practices. Alarms and controls that would have helped control the situation were non-existent or inadequate, the suit charges.
News of the suit drove First Energy share prices down more than nine per cent to 27.75 dollars.
ONTARIO: Ontario province praised conservation efforts Monday after North America’s largest blackout, but warned that hot weather later in the week may make it harder to cut electricty use, particularly for air conditioners.
Most of Toronto, Canada’s financial hub and its largest city, returned to normal Monday, but at a less frenetic pace, with fewer cars on the roads, the subway system less crowded and civil servants deemed nonessential staying home.
Ontario Premier Ernie Eves praised efforts by all, including the automotive, forestry, steel and mining sectors to cut back on electricity use, signaling out General Motors Canada for reducing its electricity consumption to 44 percent its normal levels.
The premier, who on Sunday urged residents and businesses to use half the power they normally would, said Ontario was getting off on a “good foot” with consumption 22,000-24,000 megawatts below that of a normal summer Monday.—dpa/AFP
