Destruction magic is where it needs to be. With a few added additions such as "+% damage to " enchants, or weakness to destruction and most other schools will be slightly on par. Now, the reason why it would be slightly on par is because I don't think anything can compare to weapons crafted via min-maxing, which in and of itself takes a little bit to accomplish, but the end result is Daedric Swords hitting for 305 base damage. The broken crafting system is what lends itself to this problem, so while Destruction definitely needs a minor adjustment, crafting needs a major overhaul.
The bulk of these threads that focus on destruction magic being under-powered need to be re-written completely to address the crafting system as a whole, because the problem with all these threads is you're comparing destruction magic to a playstyle that holds a gross amount of synergy with an overly-inflated crafting system.
Wow. That was an intelligent response, and well written. Color me surprised.
I think you hit the nail on the head. It is unreasonable to expect destruction to scale to the near ridiculous amounts of damage that melee weapons can dole out when the system is power-gamed/exploited.
I think what is upsetting people is that the destruction skill caps out around level 40, but the game world continues to get harder until about level 50. So for those last 10 levels, people notice their destruction skills get less and less effective and there is nothing they can do about it. Considering the amount of time invested at that point, they understandably feel a bit cheated.
There has to be a middle ground here, and as I've said all along, it is a quick fix. Personally, I would like to see Novice,Adept,Expert and Master variations applied to each spell. That way, you can keep using Flame well into your 50's, and lower level characters can enjoy fireball (since the two spells behave completely different, aside from damage). This is how it was in Oblivion, and the system worked. Yes, you could exploit the system with enchantments and spell-making to make yourself a living god, but the base system worked and it was fair.
Forcing you into changing spells every 15 or so levels only to run out of options for upgrade at level 40 seems weak...and the kicker is you don't find out that you've hit the glass ceiling until you're hours upon hours into the game.